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FYI for those interested: you can get exposure to Robinhood's post-IPO market cap outcome right now via FTX.com pre-IPO futures. This is something I'm pleasant

FYI for those interested: you can get exposure to Robinhood's post-IPO market cap outcome right now via FTX.com pre-IPO futures. This is something I'm pleasantly surprised by in 2021: Deposit crypto. Transact pre-ipo futures, stock futures, commodities like lumber etc. 24/7 with solid-liquidity.

JumpCrisscross 5y ago
> you can get exposure to Robinhood's post-IPO market cap Ish. Creating derivatives around private assets is hard. Anyone who bought FTX swaps in e.g. Coinbase pre-IPO lost money on bad pricing alone. It’s for these reasons that their product is not compliant with decades-old U.S. securities law. Unfortunately, it’s free to roam in younger jurisdictions. Disclaimer: I work in the private markets. I used to make markets in derivatives. I haven’t seen a single solution, to date, that competently combines the two.
- gruez 5y ago
  >Anyone who bought FTX swaps in e.g. Coinbase pre-IPO lost money on bad pricing alone. Is this when they're buying, or when they're selling?
  - JumpCrisscross 5y ago
    > Is this when they're buying, or when they're selling? FTX isn't a trading venue for shares. They create tokens representing the shares [1]. When they sell a token representing Coinbase stock at 3x what the stock is trading on private stock venues, and a bit more compared with where it IPO'd, that gain isn't necessarily going to other FTX customers. It's going to their captive broker-dealer, a German-regulated (i.e. virtually unregulated) entity. Given Coinbase shareholders weren't allowed to transfer shares on unapproved platforms, there were zero authorized Coinbase sellers on FTX. The winnings went to the house. [1] https://help.ftx.com/hc/en-us/articles/360051229472-Tokenized-Stocks https://help.ftx.com/hc/en-us/articles/360051229472-Tokenize...
- elevenoh 5y ago
  >Anyone who bought FTX swaps in e.g. Coinbase pre-IPO lost money on bad pricing alone. Not sure what you're talking about here, I bought it & I certainly didn't...

JumpCrisscross 5y ago

> you can get exposure to Robinhood's post-IPO market cap Ish. Creating derivatives around private assets is hard. Anyone who bought FTX swaps in e.g. Coinbase pre-IPO lost money on bad pricing alone. It’s for these reasons that their product is not compliant with decades-old U.S. securities law. Unfortunately, it’s free to roam in younger jurisdictions. Disclaimer: I work in the private markets. I used to make markets in derivatives. I haven’t seen a single solution, to date, that competently combines the two.

gruez 5y ago
>Anyone who bought FTX swaps in e.g. Coinbase pre-IPO lost money on bad pricing alone. Is this when they're buying, or when they're selling?
- JumpCrisscross 5y ago
  > Is this when they're buying, or when they're selling? FTX isn't a trading venue for shares. They create tokens representing the shares [1]. When they sell a token representing Coinbase stock at 3x what the stock is trading on private stock venues, and a bit more compared with where it IPO'd, that gain isn't necessarily going to other FTX customers. It's going to their captive broker-dealer, a German-regulated (i.e. virtually unregulated) entity. Given Coinbase shareholders weren't allowed to transfer shares on unapproved platforms, there were zero authorized Coinbase sellers on FTX. The winnings went to the house. [1] https://help.ftx.com/hc/en-us/articles/360051229472-Tokenized-Stocks https://help.ftx.com/hc/en-us/articles/360051229472-Tokenize...
elevenoh 5y ago
>Anyone who bought FTX swaps in e.g. Coinbase pre-IPO lost money on bad pricing alone. Not sure what you're talking about here, I bought it & I certainly didn't...