Hyperliquid Policy Center Urges SEC to Allow U.S. Retail Access to Pre-IPO Perpetuals

A proposal submitted to U.S. regulators seeks a path for retail investors to eventually trade perpetual contracts tied to companies before they go public, potentially bringing pre-IPO price exposure to U.S. crypto markets.

Hyperliquid Policy Center and trade[XYZ], which deploys perpetual markets on Hyperliquid, outlined the approach in a joint comment letter to the U.S. Securities and Exchange Commission (SEC). The proposed contracts, called IPOPs, would give traders exposure to pre-listing prices without providing equity ownership, voting rights, or entitlement to shares in an IPO. 

The filing also asks the SEC and the Commodity Futures Trading Commission (CFTC) to resolve the regulatory classification of equity-linked perpetuals, including whether the products fall under security futures or security-based swaps. 

Beyond classification, the groups called for a regulatory framework addressing disclosures and listing standards as well as leverage, position limits, and market manipulation. 

Source: Hyperliquid Policy Center