From The Motley Fool · Alex Carchidi · · 1m
Hyperliquid CEO Jeff Yan on Pre-IPO Access
Hyperliquid's CEO Jeff Yan explains how perpetual futures let regular investors access pre-IPO companies before they go public.
In brief
Hyperliquid's CEO Jeff Yan explains how perpetual futures let regular investors access pre-IPO companies before they go public. Hyperliquid's perpetual futures contracts give regular investors exposure to private companies before IPOs, avoiding the privilege gap. Originally reported by The Motley Fool.
Hyperliquid CEO Jeff Yan's claim
Jeff Yan, CEO of Hyperliquid (HYPE -0.86%), says perpetual futures can democratize access to pre-IPO companies.
“most of the upside from shares of private companies moving toward their initial public offerings goes to a select few people with privilege in advance of when the public can buy in”
How perpetual futures work
Perpetual futures contracts track private companies' expected market capitalization before IPOs and never expire.
“a pre-iPO perpetual future or perp for short is a derivative contract that tracks a private company's expected market capitalization before its iPO”
Anthropic's valuation growth
Anthropic's valuation grew from $586.56 million in May 2021 to $965 billion in May 2026.
“Anthropic's valuation grew from $586.56 million in May 2021 to $965 billion in May 2026”
Risk of pre-IPO perps
Buyers risk losses if Anthropic's market value drops below $2 trillion when selling perpetual futures.
“as of oct. 15, the perp contract on hyperliquid values anthropic at just over double the most recent funding round”
Space Exploration Technologies example
Space Exploration Technologies' perp contract sold for $180-$200 but dropped to $160-$170 by June 8.
“space exploration technologies priced its june 2026 iPO at $135 per share, yet its perp contract on hyperliquid sold for $180 to $200 after its may 18 launch, then slid to $160 to $170 by june 8”
Why skip pre-IPO perps
Investors should read Anthropic's public filings before buying actual shares if the numbers justify the price.
“skip the perps and read anthropic's public filings when they're available. if the numbers justify the price, buy actual shares if it fits your portfolio”
What it means
Hyperliquid's perpetual futures contracts give regular investors exposure to private companies before IPOs, avoiding the privilege gap.
