Binance, the dominant cryptocurrency exchange, is set to list SEI Network’s native token SEI on Aug. 15. According to data from decentralized exchange Aevo’s pre-listing futures, traders are seeing SEI changing hands at 26 cents immediately after the debut.
Aevo’s pre-listing futures market, which debuted on Wednesday, allows traders to speculate on the potential post-listing price of the cryptocurrency. This product is similar to IOU futures offered by some exchanges. Aevo’s Co-founder and CEO Julian Koh stated, The pre-launch futures improve price discovery as users can go both long or short.
SEI’s circulating supply upon listing will be 1.8 billion, which is 18% of the total supply of 10 billion. At an early price of 26 cents, the cryptocurrency will have a market cap of $486 million and rank among the top 100 cryptocurrencies.
Once SEI goes live on Binance, the pre-listing futures will start referencing the index price and charge funding rates to traders to keep prices aligned with the spot market value. This means that the pre-listing futures will become perpetual swaps after the exchange listing. Funding rates are periodic payments by bullish long or bearish short position holders. Aevo has put strict position limits and open interest caps in these markets, considering the experimental nature of the product. The futures are margined and settled in the dollar-pegged stablecoins USDC.