News for hackers. Stuff that matters.

A comment on Coinbase announces proposed direct listing. Parent comment

Re:Coinbase announces proposed direct listing by throwaway803453 on Thursday January 28, 2021 @05:27PM (#25950343)
From EquitZen's knowledge center:

"Shares that are the subject of investment through EquityZen are generally subject to a lock-up period of up to 180 days after the effectiveness of a company's IPO filing, during which time shareholders are restricted from selling their shares."[1]

The 180day lock-up period could EquityZen poorly suited for investors with a short time horizon.

[ Parent | on HN ]
Re:Coinbase announces proposed direct listing by svachalek on Thursday January 28, 2021 @06:59PM (#25951349)
In this case though, Coinbase is doing a direct listing, not an IPO. I think there is usually no lockup associated with a direct listing.
[ Parent | on HN ]
Re:Coinbase announces proposed direct listing by inadequatespace on Saturday January 30, 2021 @01:25PM (#25971482)
Er, PLTR still had a lockup for its direct listing. If this trend continues the “usually” aspect will not hold.
[ Parent | on HN ]
Re:Coinbase announces proposed direct listing by jacobkranz on Thursday January 28, 2021 @07:52PM (#25952033)
Could you do what Mark Cuban did and work with your brokerage to do sell calls & buy puts around the strike? That would lock in your price for a given amount of time.
[ Parent | on HN ]
Re:Coinbase announces proposed direct listing by findjashua on Thursday January 28, 2021 @11:55PM (#25954118)
should be the other way around - buy calls and sell puts.

that said, options usually are available a few days after the ipo, so may not accomplish the objective

[ Parent | on HN ]
Re:Coinbase announces proposed direct listing by adventured on Friday January 29, 2021 @01:17AM (#25954624)
If you had a sizable fortune at stake, you'd go to a major financial firm like Goldman Sachs, which handled the collar for Cuban, and they'll build you something custom. Almost any arrangement can be worked out, with a fat fee to go with it.
[ Parent | on HN ]
Re:Coinbase announces proposed direct listing by sidlls on Thursday January 28, 2021 @07:21PM (#25951670)
That only applies to IPOs. In a direct listing the shares start trading at the published reference price. There is no underwriting or other ceremony around it.
[ Parent | on HN ]