US-based Coinbase is the first tier-1 exchange to offer pre-market perpetuals.
Crypto exchange Coinbase has unveiled its newest offering, pre-launch markets, which will enable users to trade perpetual futures contracts on tokens that are in their pre-token generation event (TGE) stage.
Coinbase will become the first major exchange to incorporate pre-launch perpetuals, a market niche that has become increasingly popular through onchain products such as Hyperliquid and Whales Market. The new feature will be available exclusively to Coinbase Advanced users.
Current iterations of pre-market trading generally have low liquidity and volume, which can lead to inaccurate valuations leading up to a project’s TGE. Operating on a centralized platform could provide a more liquid environment for users to trade tokens in their pre-launch stage.
The pre-launch trading platform differs significantly from traditional perpetual markets. It includes third-party risks such as the tokens never launching, and higher liquidation risks due to the increased volatility associated with pre-market valuations.
