• Latest
Polkadot Tokens Valued at $75 Pre-Launch in Crypto ‘Futures’ Offering

Polkadot Tokens Valued at $75 Pre-Launch in Crypto ‘Futures’ Offering

Juli 16, 2019
6 Questions for Rene Reinsberg of Celo – Cointelegraph Magazine

6 Questions for Rene Reinsberg of Celo – Cointelegraph Magazine

März 31, 2023
Judge denies SEC motion to keep Hinman docs secret in Ripple case

Judge denies SEC motion to keep Hinman docs secret in Ripple case

März 31, 2023
The ultimate guide to Miami – Cointelegraph Magazine

The ultimate guide to Miami – Cointelegraph Magazine

März 31, 2023
Dr. Jane Thomason – Cointelegraph Magazine

Dr. Jane Thomason – Cointelegraph Magazine

März 31, 2023
1658007797 celsius is bankrupt with 12b balance sheet hole su zhu.jpg

Celsius is bankrupt with $1.2B balance sheet hole, Su Zhu returns to Twitter and OpenSea purges 20% of employees: Hodler’s Digest, July 10-16

März 31, 2023
6 Questions for Lisa Fridman of Quadrata – Cointelegraph Magazine

6 Questions for Lisa Fridman of Quadrata – Cointelegraph Magazine

März 31, 2023
Jed McCaleb empties XRP wallet after eight-year selloff

Jed McCaleb empties XRP wallet after eight-year selloff

März 31, 2023
Celsius has finally filed for bankruptcy: Law Decoded, July 18-25

Celsius has finally filed for bankruptcy: Law Decoded, July 18-25

März 31, 2023
The ‘godfather of crypto’ risked lifetime in jail, laying foundation for Bitcoin – Cointelegraph Magazine

The ‘godfather of crypto’ risked lifetime in jail, laying foundation for Bitcoin – Cointelegraph Magazine

März 31, 2023
SEC objects to XRP holders aiding Ripple defense

SEC objects to XRP holders aiding Ripple defense

März 31, 2023
Blockchain technology is transforming the real estate market – Cointelegraph Magazine

Blockchain technology is transforming the real estate market – Cointelegraph Magazine

März 31, 2023
1658612147 nfts banned in minecraft sec lists 9 tokens as securities.jpg

NFTs banned in Minecraft, SEC lists 9 tokens as securities and 3AC founder blames cockyness for company meltdown: Hodler’s Digest, July 17-23

März 31, 2023
  • Home
  • Coin Market Cap
  • Bitcoin
  • Ethereum
  • Ripple
  • Litecoin
  • Alt Coin
  • Business
  • Trading
  • Mining
CoinNewsDaily
  • Home
  • Coin Market Cap
  • Bitcoin
  • Ethereum
  • Ripple
  • Litecoin
  • Alt Coin
  • Business
  • Trading
  • Mining
No Result
View All Result
  • Home
  • Coin Market Cap
  • Bitcoin
  • Ethereum
  • Ripple
  • Litecoin
  • Alt Coin
  • Business
  • Trading
  • Mining
No Result
View All Result
CoinNewsDaily
No Result
View All Result
Home Tech

Polkadot Tokens Valued at $75 Pre-Launch in Crypto ‘Futures’ Offering

coinnewsdaily by coinnewsdaily
Juli 16, 2019
in Tech
0
Polkadot Tokens Valued at $75 Pre-Launch in Crypto ‘Futures’ Offering
190
SHARES
1.5k
VIEWS
Share on FacebookShare on Twitter

Say hello to the IFO.

The cryptocurrency futures exchange CoinFLEX, backed by Polychain Capital and investor Roger Ver, will launch its first initial futures offering (IFO) this week.

Related articles

Bankman-Fried faces down roomful of futures industry insiders at CFTC roundtable

Bankman-Fried faces down roomful of futures industry insiders at CFTC roundtable

Mai 25, 2022
Central African Republic to launch official crypto hub ‘Sango’

Central African Republic to launch official crypto hub ‘Sango’

Mai 24, 2022

“This is the first time we’ve made a futures market for a coin that doesn’t actually exist yet,” CoinFLEX CEO Mark Lamb told CoinDesk. “It’s a determiner of the price before the asset exists.”

Notably, Polkadot’s DOT will be CoinFLEX’s flagship IFO.

Stepping back, CoinFLEX launched in April with four futures contracts including bitcoin and ether. The platform then launched its own exchange token called FLEX earlier this month.

The Polkadot IFO on Wednesday will be the first sale that requires participants to buy the exchange’s native token. Modeled after the Binance initial exchange offering model, up to 300 FLEX token holders will have access to “discount” contracts priced at $75 per DOT.

A trader speaking on the condition of anonymity told CoinDesk this is generally in line with the over-the-counter rate for DOT contracts, since the token itself hasn’t launched yet. In order to reach the projected $1.2 billion valuation established by Polkadot creator and ethereum co-founder Gavin Wood, prices would need to eventually exceed $100 per token. Wood’s Web3 Foundation and Parity Technologies, both organizations building this new ecosystem, declined to comment for this article.

While CoinFLEX’s Lamb declined to specify which firms are market-making for these contracts, he said they include Asian investors potentially offering “millions of dollars” worth of DOT tokens. (As CoinDesk previously reported, three Chinese firms bought investment agreements for DOT tokens for $15 million.)

“In order to buy at the presale, you need to lock up a thousand FLEX,” Lamb said, adding that contracts will expire four weeks after the token eventually launches. “We don’t know when they [IFO contracts] expire, because we don’t know when mainnet is going to launch.”

Much like Binance’s BNB token, FLEX can be used to pay exchange fees and access exclusive opportunities, like this IFO. Lamb said his exchange plans to offer BNB and Tron futures later this summer as well.

While most futures contracts across the space currently relate to live assets, like bitcoin, it remains to be seen what the appetite is for contracts related to pre-launch assets. While it isn’t a futures contract, the Hong Kong-based exchange BitForex has also issued the option for users to buy “Polkadot IOUs” for DOT tokens as a type of pre-sale for retail investors.

CoinFLEX’s head of business development, Emmanuel Alamu, told CoinDesk that physically settled crypto contracts carry fewer risks than cash-settled futures or IOUs while the asset itself remains illiquid.

“IFOs are an innovative way for the market to develop price discovery and act as a barometer on the progress of these blockchains,” Alamu said. “We can handle dual margining and hence, enact rules that ensure both sides of an IFO trade will deliver their respective side of the digital asset.”

Polkadot image via Shutterstock

Credit: Source link

Tags: Crypto Tech
Share76Tweet48
Previous Post

Binance Chain Announces Galileo, the Latest Version of Its Mainnet

Next Post

Blockchain Not Understood by Almost 70% of Firms in Asia-Pacific

coinnewsdaily

coinnewsdaily

CoinNewsDaily.com is an online Crypto Coin News Website that aims to provide latest trendy news from market and around the world.

Related Posts

Bankman-Fried faces down roomful of futures industry insiders at CFTC roundtable
Tech

Bankman-Fried faces down roomful of futures industry insiders at CFTC roundtable

Mai 25, 2022
Central African Republic to launch official crypto hub ‘Sango’
Tech

Central African Republic to launch official crypto hub ‘Sango’

Mai 24, 2022
South Korean police request exchanges freeze LFG related funds
Tech

South Korean police request exchanges freeze LFG related funds

Mai 24, 2022
Bitcoin stands apart from other crypto, and what that means for US public policy
Tech

Bitcoin stands apart from other crypto, and what that means for US public policy

Mai 22, 2022
Needed: A massive education project to fight hacks and scams
Tech

Needed: A massive education project to fight hacks and scams

Mai 21, 2022
Commonwealth Bank puts crypto trading trial on ice as regulators dither
Tech

Commonwealth Bank puts crypto trading trial on ice as regulators dither

Mai 20, 2022
Load More
Next Post
Blockchain Not Understood by Almost 70% of Firms in Asia-Pacific

Blockchain Not Understood by Almost 70% of Firms in Asia-Pacific

Kategorien

  • Alt Coin
  • Bitcoin
  • Business
  • Ethereum
  • ICO
  • Litecoin
  • Mining
  • NFT
  • Ripple
  • Tech
  • Trading

What New here?

  • 6 Questions for Rene Reinsberg of Celo – Cointelegraph Magazine
  • Judge denies SEC motion to keep Hinman docs secret in Ripple case
  • The ultimate guide to Miami – Cointelegraph Magazine
  • About Us
  • Contact Us
  • Privacy & Policy

© 2018-2021 CoinNewsDaily.com by CoinNewsDaily Inc. Crafted with Love by iFtiDev

Please enter CoinMarketCap Free Api Key to get this plugin works.
✕
No Result
View All Result
  • Home
  • Coin Market Cap
  • Bitcoin
  • Ethereum
  • Ripple
  • Litecoin
  • Alt Coin
  • Business
  • Trading
  • Mining

© 2018-2021 CoinNewsDaily.com by CoinNewsDaily Inc. Crafted with Love by iFtiDev