Pre-market trading (pre-launch tokens)

Before a token's generation event, several kinds of markets let traders bet on its future price. Some centralized exchanges list pre-launch perpetual futures that settle in stablecoins and later convert into standard contracts. Others offer pre-market spot trading of claims that settle once the token is distributed. On-chain, peer-to-peer platforms let users buy and sell airdrop points or future allocations, backed by collateral that the seller loses if they fail to deliver.

These markets provide early price discovery and let airdrop farmers lock in a value for tokens they expect to receive. Analysts also use pre-market prices to estimate a project's launch valuation.

Risks are significant. Liquidity is thin, so prices can swing wildly, and leveraged pre-launch futures have suffered extreme spikes. Settlement terms differ between platforms: if a launch is delayed, cancelled or the token supply differs from expectations, contracts may be settled in unexpected ways. Points markets depend on the conversion rate the project eventually sets, which is often unknown.