小龙先生|Sep 02, 2026 01:46
Pre IPO: How to understand investment opportunities for unlisted companies?
How to translate
—— How Cryptocurrency Traders Understand Stock Products Series | Article 08
Dear friends, in the past few articles, we have talked about real stocks, stock futures, and tokenized stocks. Today we will talk about the last and most curious type of product: Pre IPO.
Many friends' first reaction when they see this name is:
Can I buy a company that hasn't been listed yet in advance
The answer is not that simple.
In recent years, popular companies such as SpaceX, OpenAI, and Stripe have been highly regarded by the market. Many investors believe that they have great growth potential.
But the problem is that for ordinary investors, there is usually no opportunity to participate in related investments before the company is officially listed.
It is precisely because of this that Pre IPO products have gradually emerged in the market.
It allows investors to participate in the market expectations of unlisted companies, rather than waiting until they are officially listed to start paying attention.
However, it is important to distinguish between two easily confused concepts here.
Pre IPO Launchpad and Pre IPO Futures are not the same product.
We can simply understand it as:
Pre IPO Launchpad is more inclined to participate in designated Pre IPO projects, while Pre IPO Futures are futures products that focus more on the market's expected changes in the future value of related targets.
Although the names all carry Pre IPO, there are significant differences in product structure, trading mechanism, and risk sources.
This is also something that @ MEXC official emphasizes the need for correct understanding.
Compared to the several stock products introduced earlier, Pre IPO usually carries higher risks.
The main reasons come from several aspects:
✅ The company has not yet gone public and there is significant uncertainty in the future;
✅ Market information is relatively limited, making valuation judgments more difficult;
✅ The liquidity of the product may differ from mature stocks;
✅ There are uncertain factors regarding whether and when a company will go public in the future.
Because of this, it is more suitable for investors who have fully understood the product mechanism and can withstand higher risks.
When researching @ MEXC's stock product system recently, I found that the platform has already placed RealStocks, Stock Futures, tokenized Stocks, and Pre IPO in the same product ecosystem.
The significance of doing so is not to encourage everyone to trade all products. The purpose of the platform is to provide users with different choices for different investment goals.
Some people prefer long-term holding, some pay attention to financial reports and market trends, while others are accustomed to using Crypto trading methods, and some are willing to study the development opportunities of companies before going public. Different needs naturally correspond to different tools.
Mr. Xiaolong's Observation
Many people's first reaction when they see the three words' Pre IPO 'is that an opportunity has come.
But I prefer to think of two other words first: risk.
The earlier you participate, the more opportunities you may have, but it also means facing more unknowns.
Therefore, before participating in any Pre IPO product, it is more important to understand the product itself than to seek opportunities.
Only by knowing where the risk comes from can one determine whether it is suitable for their investment system.
Next preview:
If I have a long-term bullish outlook on NVIDIA, which stock product should I choose?
How to translate
Equally optimistic about a company.
Long term investors, short-term traders, and users with different risk preferences may choose completely different products.
Next, we officially enter the actual usage scenarios of stock products.
Finally, I would like to discuss a question with everyone:
If there is an unlisted company that you are very optimistic about in the future, would you be willing to pay attention to Pre IPO products in advance, or would you prefer to participate after it is officially listed?
Welcome to leave a message to exchange your ideas.
MEXC Kaito mexc0808 Stocks
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