Desperate Chinese Investors Turn to Crypto Knockoffs to Get Exposure to SpaceX IPO
Chinese investors are turning to cryptocurrency-linked products to gain exposure to the initial public offerings (IPOs) of U.S. tech firms. These companies include SpaceX, the rocket firm founded by Elon Musk, and OpenAI, the creator of ChatGPT.
Introducing TipRanks MCP for Agents
- Deliver institutional-grade market data directly into Claude, ChatGPT, Cursor, and other MCP-compatible AI tools.
- Designed for personal research, portfolio monitoring, and AI-assisted investment workflows.
Notably, the move to digital asset bets came after Chinese investors got shut out from direct participation in many U.S. tech listings. However, these bets do not represent real share ownership of either SpaceX or OpenAI, exposing buyers to risk.
Chinese Investors Use Crypto Tokens to Bet on SpaceX and OpenAI IPOs
The betting products tied to SpaceX and OpenAI IPOs are built around digital tokens designed to track the value of the firms. To invest, many Chinese buyers first convert their renminbi currency into stablecoins such as USDT, then use them to buy the tokenized assets on crypto platforms. This itself violates Beijing’s ban on converting fiat money into crypto.
Some Chinese investors purchase these stablecoins through offshore crypto platforms. Although the exchange is blocked in China, users can still access it through virtual private networks (VPNs).
Many of these investment tokens are also linked to special purpose vehicles (SPVs) that hold shares in the underlying firms. Others simply track a firm’s value without giving investors shares, voting rights, or any direct ownership stake.
Notably, several crypto firms have launched products tied to pre-IPO U.S. tech companies. Paimon Finance, a New York-based crypto investment platform, launched two tokenized products in 2025 that claim exposure to SpaceX and OpenAI through SPVs.
Meanwhile, crypto exchange Bitget launched preSPAX in April, a tokenized product linked to SpaceX’s performance. The next month, the exchange launched a token that could give retail investors pre-IPO exposure to OpenAI. However, the firm said that neither product represents a direct investment in SpaceX or OpenAI. Notably, many Bitget preSPAX buyers were from China, underscoring the strength of demand for U.S. tech stocks.
Beijing Policy Pushes Investors Into Tokenized U.S. IPO Bets
Chinese investors’ demand for SpaceX and OpenAI products has surged to oversubscribed levels. The surge comes as Beijing tightens bans on overseas investing, pushing more activity into other channels.
An adviser to China’s Central Bank said regulators have tried to curb the rate of stablecoin conversions. However, enforcement remains limited, as such transfers are hard and costly to monitor.
Investors also face uncertainty over whether tokenized products or SPVs are actually backed by shares in the underlying companies. Even when they are, many private firms restrict share transfers and may treat unauthorized transfers as invalid.
Both OpenAI and Claude chatbot creator Anthropic have warned that unauthorized token products linked to their firms may not be recognized and could hold little or no value. These two AI rivals have confidentially filed for an IPO with U.S. regulators, as they prepare for their public debuts in the coming months.
What Are the Next Big Upcoming IPOs?
SpaceX is set to list on the Nasdaq on June 12, 2026, under the ticker SPCX. The company is targeting a valuation of $1.75 trillion, which would make it the largest IPO in market history. Meanwhile, OpenAI confidentially filed for an IPO with the SEC on June 8 and is targeting a valuation of up to $1 trillion. For more updates on these companies ahead of their public debuts, visit the TipRanks Private Company Center.
Copyright © 2026, TipRanks. All rights reserved.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Federal Reserve meeting minutes turn "hawkish"! Most officials support another rate hike this year, US dollar continues to rise
The latest minutes released by the Federal Reserve show that all 19 officials support a rate hike in September, and most participants believe that further interest rate increases may still be needed before the end of the year.
High yields on US Treasuries start attracting buyers; $39 billion 10-year Treasury auction sees strong demand as long-end yields give back gains
U.S. Treasury bonds showed mixed performance on Wednesday after a $39 billion 10-year Treasury auction saw strong demand, indicating that as yields reach multi-decade highs, some major investors are starting to re-enter the market.
Overnight U.S. Stocks | Federal Reserve officials expect another rate hike before the end of the year, three major indexes closed lower, Micron Technology (MU.US) rose 4%
At the close, the Dow Jones Industrial Average fell by 341.41 points, down 0.66%, to 51,179.87 points; the S&P 500 Index dropped by 17.20 points, down 0.22%, to 7,801.73 points; and the Nasdaq Composite Index declined by 61.20 points, down 0.22%, to 27,538.69 points.
Federal Reserve meeting minutes: All 19 policymakers support a rate hike in September, but reasons vary; most expect further hikes this year, suggesting no urgency in October.
Most officials view a September interest rate hike as an "insurance" measure against stubborn inflation; a minority see it as a necessary step to curb inflation. Overall, there is no indication of a desire to push for consecutive rate hikes. The "New Fed News Agency" emphasized the minutes: "Most participants believe that it may be appropriate to raise interest rates again before the end of the year." Nearly all officials believe inflation remains elevated and the labor market is close to full employment. Many noted that, despite the rise in long-term U.S. Treasury yields, financial conditions are still conducive to economic growth. Some officials believe that AI will boost investment and productivity, but may also contribute to inflation. The minutes revealed that the U.S.-Japan joint intervention in July to support the yen was a U.S. Treasury action, with no Federal Reserve funds used.
Crypto prices
More
