Definition
Pre-market in crypto usually describes access to an asset-related market before ordinary spot trading begins. It is different from the hours before a stock exchange opens each day. Depending on the platform, the product may be an agreement for later token delivery or a derivative with its own pricing and settlement rules.
How It Works
In a delivery-based arrangement, buyers and sellers agree on a price and quantity ahead of settlement. Collateral may secure obligations, and the seller must deliver the specified asset under the published schedule. A derivatives-based pre-market instead creates contract exposure; buying that contract does not necessarily create ownership of tokens.
The product terms determine what happens if delivery fails, a launch is delayed, or the asset’s specifications change. These outcomes should not be inferred from ordinary spot-market rules.
Key Considerations
Pre-market prices reflect a restricted market with uncertain future supply and potentially thin liquidity. They do not guarantee the opening price at listing or access to a future allocation. Check the exact asset or contract, collateral requirements, settlement process, and default treatment. Platform terminology varies, so the label alone is insufficient to identify what is being traded.