📍Conclusion: The final opening pricing reference will be changed from the primary high valuation to one that is more in line with the current market liquidity level, further eliminating the expectation gap between the primary and secondary markets. At the same time, a reference cost price will be attached to the shares originally belonging to the new coin mining, making the initial market pricing more reasonable.
We can even make a bold prediction: the next new coin to be mined will be the "VC" coin that everyone has known in the past.
In fact, after all, we are all trying to find ways to change the dilemma of the original high valuation expectations in the primary market and the lack of active liquidity in the current industry. After all, there are really not many new coins that can be called outstanding this year.
(The originally expected wealth-creating effect of listing has only recently been tasted by the market with the launch of meme coins with relatively low market value)
In addition to providing spot goods, the most important feature of this mechanism is the liquidity difference.
I think that in the past, when Binance was listing new coins, one of the reference sources for the opening price would have taken into account the price of the pre-trading market that has emerged in the past six months.
But the same target will present completely different effects under different liquidity conditions. This is the reason why the saying "oranges in the south are like tangerines in the north" applies.
The pre-market trading data of other markets may not be of much reference value due to liquidity and information transparency issues.
Instead of doing this, it is better to test the sensitivity of your own platform's liquidity to this target, and finally think about more reasonable market pricing based on the results of this game.
At present, judging from the details of the mechanism, this [pre-trading] market is initially bound to the mining of new coins, because the shares available for trading belong to this pool. This mechanism is a bit like the IPO stage of the traditional financial market🔺
That is, a portion of the initial circulation is listed in advance and handed over to participants within the platform for trading.
I have counted the share of "VC coins" that everyone knows about in the new coin mining this year. According to past data statistics, the share of new coin mining this year accounts for an average of 32.2% of the total initial online amount.
In fact, in the original market psychological expectations, this part of the share is [0 cost], that is, no matter what the person who dug it out did, the market defaulted to selling it online.
That will actually cause a lot of psychological pressure on later participants. 32.2% is almost half when rounded up. I worked hard to get the money, but in the end you gave me a spade instead?
Someone might ask: I took it in the pre-trading stage, isn’t it also zero cost❓
My opinion is that the two cannot be generalized.
Regardless of the different circulating shares, if I understand correctly, this pool comes from the mining of new coins, so the corresponding market is facing a linear release (mining) of shares within a few days @Yi He
What does this mean ❓
This means that those who get the chips first may see a huge difference between the final market price and the final market price, because the initial circulation is small and the expectations of the two parties involved in the game are even more different.
Especially at this stage, the buying volume is obviously greater than the selling volume.
This means that holders who participate in the mining of new coins also need to estimate the holding price due to this linear release design. After all, there are no other airdrop shares in the trench at this time, only "miner" teammates holding shovels.
Maybe originally everyone wanted to lock in profits first, but now they are thinking about which stage will give them a better chance of getting a higher rate of return.
This psychological game will return to a fairer price with the linear release design, and will eventually be closed for a period of time before the final listing.
At the same time, because of this game stage, the psychological reference price finally reported is more practical👇🏻
In behavioral finance, there is a theory of [psychological anchoring], which means that people will look for traceable data in history as a basis for buying and selling.
The original market valuation system comes from the valuation of the primary market, but as I said at the beginning, it is not applicable. The two markets are at different stages and have different expectations.
This pre-trading market is a way for the market to test the waters in advance.
Finally, I originally had a question, which is that this stage is actually very likely to be manipulated by the project party or organization, but seeing that there are purchase transaction restrictions, okay, then it’s okay 🤣
Some superficial interpretations, thank you for your attention🙏🏻
