SpaceX IPO Now Accessible via Kraken's xStocks Tokenized Platform
More than 110 global markets can now access tokenized equity in SpaceX through Kraken's platform as eligible users prepare for what could be a record-breaking public offering.
Through its xStocks platform for tokenized equities, cryptocurrency exchange Kraken is providing its customers with entry to SpaceX's forthcoming initial public offering, demonstrating the increasing intersection of cryptocurrency technology and conventional capital markets.
On Friday, Kraken made an announcement revealing that its xStocks IPO Access feature would debut with SpaceX as its inaugural public offering, enabling qualified users to take part in the offering via tokenized equity instruments.
For those interested in participating, requirements include maintaining a verified account with Kraken on the mobile application and completing an IPO access application form. Access through Kraken Pro or the desktop version of the platform is not supported for this offering.
Kraken has stated that IPO Access functionality extends throughout the European Economic Area (EEA) and encompasses more than 110 global markets, although users in the United States, Canada, Australia and the United Kingdom face participation restrictions stemming from regulatory constraints.
Qualified users have the opportunity to express their interest in acquiring SpaceX shares prior to the commencement of the company's public market trading. Those investors who successfully secure an allocation will receive SPCXx, which represents a tokenized form of SpaceX equity with 1:1 backing from the actual underlying shares. These tokens are available for around-the-clock trading on Kraken as well as other xStocks platforms that participate in the program.
SpaceX targets $1.8 trillion valuation, record debut
The anticipated commencement of SpaceX's public trading is scheduled for June 12, marking the first time investors will have the chance to acquire ownership stakes in Elon Musk's aerospace and satellite technology enterprise.
Reports from Bloomberg indicate that the offering has already generated demand surpassing the quantity of available shares, with SpaceX aiming to secure approximately $75 billion in capital at a minimum valuation of $1.8 trillion. Should this valuation materialize, the public listing would establish itself as the largest IPO in history, surpassing the $29.4 billion transaction completed by Saudi Aramco in 2019, according to Bloomberg's reporting.
The trajectory of the company's expansion is predominantly connected to Starlink, its satellite-based internet service business, which has emerged as a substantial contributor to both revenue generation and overall profitability.
Nevertheless, SpaceX's capital-demanding launch operations and space exploration endeavors continue to generate significant expenses, prompting uncertainty regarding investor valuation perspectives once the company commences public market trading.
