Lots of midwit takes on the TL today about IPOPs.
Hyperliquid did NOT price another IPO correctly.
The theo auc before Nasdaq open forces convergence which is why it opened at the same px
Look at the vwap 1D, 1W, 1M before vs Nasdaq 1st D,W,M for SPCX, QNT, CBRS. All wrong
A note on the SPCX pre-IPO (IPOP) contract:
TradeXYZ IPOP contracts are price-based perpetual contracts that track the market-implied expected price of one share of Class A or common stock. Neither share count nor market cap are an input to the market specification, oracle methodology, or conversion treatment.
Our documentation had previously featured educational examples showing how a user might derive their own fair price in a scenario where they started with a view on both market cap and share count. Although these examples were included for context, we received feedback that they caused confusion, so we have removed them from the documentation.
TradeXYZ does not use, publish, or rely on a share-count or market-cap denominator for SPCX or any other XYZ market. When SpaceX completes their IPO and sufficient external market data becomes available, SPCX is expected to transition to standard external oracle pricing, and the contract is expected to converge toward the public trading price.
$SPCX ipo with Commsec starts off with some serious fees
55bps of notional, then if u get allocated 0, 55bps again back. In any case you're paying 110bps in fees MIN to play this game
The worst part is they're doing this via IBKR so i know their actual cost is like 0.6bps
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