Who is the issuer behind Binance Pre IPO? Is it compliant I slept all day today and the first message I saw when I woke up was the Pre IPO message pushed by Binance Wallet. Many people's first reaction is that projects that can be accepted by Binance Wallet should not be too bad, right. So let's dig out who is selling this thing and what it's selling. First of all, the conclusion is that the disclaimer at the bottom of the poster reads a crucial sentence: "For further information, please refer to Prestocks' official website." Therefore, the issuer is most likely PreStocks, and Binance Wallet is more like a traffic and trading portal, not the issuer itself. So who are Prestocks? I have no dealings with Prestocks, let alone any vested interests According to the public disclosure on the PreStocks official website, it is essentially a pre IPO tokenized exposure project issued within the Solana ecosystem. It is written very directly: these tokens are "1:1 backed by SPV exposure to the underlying company shares", which means that the underlying layer does not provide any real stocks, but uses SPV mapping as support. More importantly, PreStocks explicitly states that users only receive corresponding price fluctuations and do not actually own stocks, have voting rights, or enjoy other legal rights such as dividends and the right to know. This indicates that what users are buying is not the real equity of OpenAI, SpaceX, or Anthropic, but a price mapping packaged through SPV exposure. I have previously written about 'What are Pre IPO SPVs and SPV Mirrors - Where Are the Risks?'? ”The article is about SPV images, and unfortunately, according to the structure publicly disclosed by @ PreStocks, it is very likely to be using SPV images. Interested friends can read it. Address: https://(x.com)/PhyrexNi/status/2028774803499540685 That's why I've been saying before that the most important thing to distinguish in Pre IPO is not how nice the name sounds, but whether what you're buying is an SPV or an SPV image. A true SPV theoretically means that the underlying legal entity holds real shares, and you are buying the rights of this legal carrier. And SPV images are often just price trackers, users do not directly own the shares of this SPV, nor do they have the legal rights of the underlying company. Of course, as I have said before, SPV images are not necessarily all scams, nor are they all fake. The problem is never 'mirror=scam', but rather that SPV mirrors naturally have several major issues. Firstly, the opacity is higher. Because what is bought is not the equity itself, but a mapping of a certain SPV exposure, there are at least two layers in between, making it difficult to truly penetrate the underlying assets, corresponding ratios, legal relationships, and execution paths. The official website of PreStocks publicly discloses "SPV exposure", but does not package it as a traditional licensed securities custodian equity account. Secondly, legal rights are weaker. The PreStocks official website has already said the most important thing in advance: there is no ownership, no voting rights, no dividend rights, no information rights, and it is not a product issued, endorsed, or recognized by these mentioned companies. That is to say, even if you buy OpenAI tokenized stocks, it does not mean that you have become a shareholder of OpenAI. You just got an on chain number linked to its valuation or price exposure. Thirdly, the trading portal looks like Binance, but the product responsibility is not on Binance. This is very important. Because many users naturally transfer their trust to Binance when they see Binance Wallet's push notifications. But Binance's own page states that these assets are not listed on Binance CEX, but are purchased through Binance Web3 Wallet connected to DEX. In other words, Binance is more like an entrance, wallet, and traffic distribution channel here, rather than the underlying issuer, structural designer, or traditional underwriter of this Pre IPO product. Is PreStocks compliant? If we look at whether PreStocks are licensed securities firms, licensed exchanges, licensed custodians, or VASPs in the traditional financial sense, the answer is very direct and not. Because PreStocks has made it clear on its official website that it is neither a licensed broker, nor an investment advisor, nor an exchange operator, nor a share transfer agent, nor a custodian, nor a virtual asset service provider. Although PreStocks has stated that a third-party audit will be conducted, as of now, the PreStocks official website has not publicly displayed any third-party audit reports that investors can directly access, nor have they seen any publicly available reserve certificates or verification reports. What can be seen mainly is the project party's own structural description and risk disclaimer, rather than external independent audit endorsement. Of course, PreStocks has implemented certain KYC regional restrictions. Currently, it is not provided in the United States, Canada, Chinese Mainland, Singapore, Hong Kong, Macao, India, Japan, Panama, Ukraine, Afghanistan, Eritrea, Ethiopia, or any country subject to sanctions by the United States, the United Kingdom or the European Union. PS: That's also why PreStocks needs to collaborate with the portal. This is also what I want to remind everyone the most. The fact that Binance Wallet can be accessed does not mean that Binance endorses the underlying asset credit. The Pre IPO provided by Binance Wallet is not Binance selling unlisted equity, but rather an entry point provided by Binance that allows users to access pre IPO products based on SPV mapping provided by issuers such as PreStocks. I don't know if there are any pitfalls, but it's definitely not true equity in the traditional sense.