Introduction to Pre-Token Trading
Pre-token Trading is an innovative service that enables pre-minting (creating), trading, and delivering PreTokens by staking assets. It allows users to earn profits before popular new tokens or major events are officially released. Through Pre-token Trading, users can pre-mint and trade PreTokens flexibly, and deliver them at maturity in prediction markets.
🔗 Explore More: Pre-Token Trading FAQ
Trading Strategies
Based on the multi-dimensional analysis of PreToken events/projects/prices, there are 3 trading approaches:
Strategy 1: Long Position
If you assume the PreToken price may go up or the event of PreToken may be in your favor, you can purchase PreTokens in the trading market and hold until delivery. In this case, your PreTokens will only apply to position delivery.
- Final Profit = Position delivery value - Buying cost
- Position delivery value = Held amount * Delivery price - Delivery fee
Strategy 2: Short Position
If you assume the PreToken price may go down or the event of PreToken may be against your favor, you may need to first pre-mint PreTokens, sell them in the trading market, and wait for delivery. In this case, your PreTokens will apply to both position delivery and pre-minting delivery.
- Final Profit = Pre-minting delivery value + Position delivery value + Revenue from selling - Collateral Cost
- Pre-minting delivery value = Staked amount - Final pre-minted amount * Delivery price - Delivery fee
- Position delivery value = Held amount * Delivery price - Delivery fee
Strategy 3: Neutral Position
Instead of betting if the price will go up or down, you can profit from price differences, by buying low and selling high in the short term, without taking a strong position on the market direction.
Important Notes:
Your trading success depends on correctly predicting PreToken's price movement, where your chosen direction (long or short) needs to align with the actual market trend.
When the PreToken project concludes, CoinEx will execute the final delivery based on the fair price, which includes both pre-minting delivery (for those who pre-minted PreTokens using collateral) and position delivery (for those who bought and held PreTokens).
About fees:
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 the latest futures market price * redeeming amount * 2%
- Delivery:
- For pre-minters: Delivery price * Pre-minted amount * 1%
- For holders: Delivery price * Held amount * 1%
Examples
Type 1 - Popular event, pending a conclusion
Trading Example: PRE_TRUMP
(Using a market price of 0.5 USDT, excluding trading fees)
(1) Win/Long Strategy:
Purchase 100 PRE_TRUMP at 0.5 USDT market price and hold until delivery. Only apply to position delivery.
- If Trump wins (delivery price = 1): Final profit = Position delivery value - Buying cost = 99 - 50 = 49 USDT
- If Trump loses (delivery price = 0): Final loss = Position delivery value - Buying cost = 0 - 50 = -50 USDT
(2) Lose/Short Strategies:
Scenario A: Pre-mint 100 PRE_TRUMP, sell all at market price, and wait for delivery. Apply to both position delivery and pre-minting delivery.
- If Trump wins (Delivery price = 1): Final profit = Pre-minting delivery value + Position delivery value + Revenue from selling − Collateral cost = −1 + 0 + 50 − 100 = −51 USDT
- If Trump loses (Delivery price = 0): Final profit = Pre-minting delivery value + Position delivery value + Revenue from selling − Collateral cost = 100 + 0 + 50 − 100 = 50 USDT
Scenario B: Pre-mint 100 PRE_TRUMP, sell half at market price and wait for delivery. Apply to both position delivery and pre-minting delivery.
- If Trump wins (Delivery price = 1): Final profit = Pre‑minting delivery value + Position delivery value + Revenue from selling − Collateral cost = −1 + 49.5 + 25 − 100 = −26.5 USDT
- If Trump loses (Delivery price = 0): Final profit = Pre‑minting delivery value + Position delivery value + Revenue from selling − Collateral cost = 100 + 0 + 25 − 100 = 25 USDT
Scenario C: Pre-mint 100 PRE_TRUMP and hold all till delivery. Apply to both position delivery and pre-minting delivery.
- If Trump wins (Delivery price = 1): Final profit = Pre‑minting delivery value + Position delivery value + Revenue from selling − Collateral cost = −1 + 99 + 0 − 100 = −2 USDT
- If Trump loses (Delivery price = 0): Final profit = Pre‑minting delivery value + Position delivery value + Revenue from selling − Collateral cost = 100 + 0 + 0 − 100 = 0 USDT
Type 2 - Popular tokens or coins, not yet listed anywhere
Trading Example: PRE_ABC
(Using an issuance price of 3 USDT at a market price of 2 USDT, excluding trading fees)
(1) Win/Long Strategy:
Buy 100 PRE_ABC and hold until delivery. Only apply to position delivery.
- If delivery price = 3 USDT: Final profit = Position delivery value - Buying cost = 297 - 200 = 97 USDT
- If delivery price = 1 USDT: Final loss = Position delivery value - Buying cost = 99 - 200 = -101 USDT
(2) Lose/Short Strategies:
Scenario A: Pre-mint 100 PRE_ABC, sell all at market price, and wait for delivery. Apply to both position delivery and pre-minting delivery.
- If Delivery price = 3 USDT: Final profit = Pre‑minting delivery value + Position delivery value + Revenue from selling − Collateral cost = -3 + 0 + 200 - 300 = -103 USDT
- If Delivery price = 1 USDT: Final profit = Pre‑minting delivery value + Position delivery value + Revenue from selling − Collateral cost = 199 + 0 + 200 - 300 = 99 USDT
Scenario B: Pre-mint 100 PRE_ABC, sell half at market price and wait for delivery. Apply to both position delivery and pre-minting delivery.
- If Delivery price = 3 USDT: Final profit = Pre‑minting delivery value + Position delivery value + Revenue from selling − Collateral cost = -3 + 148.5 + 100 - 300 = - 54.5 USDT
- If Delivery price = 1 USDT: Final profit = Pre‑minting delivery value + Position delivery value + Revenue from selling − Collateral cost = 199 + 49.5 + 100 - 300 = 48.5 USDT
Scenario C: Pre-mint 100 PRE_ABC and hold all till delivery. Apply to both position delivery and pre-minting delivery.
- If Delivery price = 3 USDT: Final profit = Pre‑minting delivery value + Position delivery value + Revenue from selling − Collateral cost = -3 + 297 + 0 - 300 = -6 USDT
- If Delivery price = 1 USDT: Final profit = Pre‑minting delivery value + Position delivery value + Revenue from selling − Collateral cost = 199 + 99 + 0 - 300 = -2 USDT
Risk Warning:
The above examples are for reference only. Pre-Token trading involves high volatility, liquidity, and market manipulation risks. Please thoroughly understand project information and practice careful risk management before trading.