What is Pre‑Token Trading?
Pre‑Token Trading is an innovative service that allows users to pre‑mint (create), trade, and deliver PreTokens by staking assets. It enables users to earn potential profits before the official launch of popular new tokens or major events. Through Pre‑Token Trading, users can flexibly pre‑mint, trade, and deliver PreTokens in advance.
Note: PreTokens are not the actual tokens of any project. All pre‑minted and held PreTokens will be settled with collateral (USDT) at a fair price, and users will receive the corresponding collateral (USDT) upon delivery.
Glossary of Common Terms
| Pre-minting | Stake assets and issue a corresponding amount of PreTokens according to the staking ratio |
| PreToken | A general term describing tokens generated for respective prediction market projects through pre-minting (staking-based creation) for pre-token trading |
| Staked amount | Staked Amount = Pre-Minted Amount * Staking Ratio |
| Pre-minting delivery | Independent delivery conducted by pre-minters during delivery |
| Position delivery | Independent delivery conducted by pre-token holders during delivery |
Frequently Asked Questions
1. Trading Risks: Are there risks in Pre‑Token Trading?
Yes. There may be multiple challenges before the official public issuance of tokens for any project, including:
(1) High volatility risk: The prices of Pre-Tokens may fluctuate sharply — especially when the outcomes of projects or events are uncertain — which could result in potential losses.
(2) Liquidity risk: Since the trading does not involve genuine tokens of any project, some PreTokens may face liquidity issues.
(3) Market manipulation risk: Small-scale or emerging PreToken markets are more fragile to manipulation by large traders, potentially mispricing market expectations.
Pre‑Token Trading involves higher risks than usual spot trading. Before participating, please ensure you fully understand the trading rules and details of the related projects.
2. Trading Mechanism: How does Pre‑Token Trading work?
Pre‑Token Trading consists of 3 stages:
(1) Pre‑minting: Users can stake assets (USDT) to mint PreTokens, or they can redeem PreTokens.
(2) Trading/Holding: Once a project starts trading, users can buy or sell PreTokens in the corresponding spot market.
(3) Delivery: When a Pre-Token Trading project concludes, CoinEx will initiate the delivery process. At this stage, all pre‑minting, redeeming, and trading functions will be suspended. The system will take a snapshot of the user's holdings and deliver assets at the fair delivery price.
3. Pre‑Minting and Trading
(1) How to pre‑mint assets?
CoinEx will specify the amount of collateral (USDT) required for pre-minting PreTokens. By staking the corresponding amount, users can obtain an equivalent quantity of PreTokens, which can be redeemed or traded in the spot market at any time.
(2) How to trade PreTokens?
Users can develop different trading strategies based on their analysis of the PreToken’s event, project, and price trends, including bullish, bearish, and neutral strategies. Each strategy corresponds to different trading actions. Users can execute trades at their own discretion.
🔗Explore More: Pre-Token Trading Tutorial >>
4. Delivery Rules
(1) How is the delivery time determined?
The delivery time for each PreToken project varies depending on actual circumstances. Please refer to each project’s dedicated delivery rules. CoinEx may carry out early delivery in the following cases:
- The OTC market price of the original project (on which the PreToken project is based) is significantly higher than its pre‑minting price on CoinEx.
- Unexpected events occur, or the results of the event are announced earlier than expected.
PreTokens delivered early may be reopened for trading later. Please refer to official announcements for the latest updates.
(2) How is the delivery price determined?
Once the official token or event is released, CoinEx will determine a fair market price as the delivery price. Each project may differ based on its specific circumstances. The method for determining the delivery price will be subject to the delivery rules.
5. Trading Fee Rate and Characteristics of PreTokens
(1) What are the trading fees for Pre‑Token Trading?
Pre-token Trading only charges fees in USDT. The fees for each stage are as follows:
- Pre‑minting: Free
- Trading: Charged according to spot market rates, VIP discounts applicable
- Redeeming: 2%, calculated as Latest Price × Redeeming Amount × 2%
- Delivery:
- Pre‑minters: Delivery Price × Pre‑Minted Amount × 1%
- Holders: Delivery Price × Held Amount × 1%
(2) What is the difference between PreTokens and regular tokens?
PreTokens are virtual tokens created through asset staking. They cannot be deposited or withdrawn on‑chain and cannot be transferred to Futures, Margin, Earn, or Loan accounts. PreTokens only support inter-user transfers and transfers between main and sub‑accounts.
(3) Will PreTokens support derivatives such as Futures or Margin Trading?
No. PreTokens are limited to spot trading only and will not be available for other trading types. All PreTokens will be deposited into the Spot Account.
(4) Will Pre‑Token Trading affect the listing price of official tokens?
No. While Pre‑Token Trading prices may reflect market expectations, they do not influence the official listing price. Instead, the official price of a token launched will be subject to broader market conditions. Both Pre‑Tokens and official tokens will be priced by the market, respectively, and the prices are not interactive.