Binance, Bybit, Bitget Refund Users Over Failed SpaceX Tokenized IPO
Three major crypto exchanges—Binance, Bybit, and Bitget—refunded customers on Friday after they failed to secure allocations for a tokenized version of SpaceX (SPCX) shares via platform xStocks. The tokenized equity platform was unable to deliver the underlying assets, forcing the cancellations. Binance also distributed $1 million in SpaceX shares via its bStocks product to affected users, while Bybit offered additional interest rewards. xStocks stated that overwhelming demand prevented full fulfillment and that client funds were returned. Shares of SpaceX, priced at $135 IPO, have surged over 26% to $172.31, pushing the company's market cap above $2.2 trillion. The IPO reportedly made Elon Musk the world's first trillionaire. Other venues like Hyperliquid and Coinbase International offered similar pre-IPO exposure. This incident highlights risks in tokenized securities and the challenges of guaranteeing allocations in high-demand IPOs.
Key facts
- Binance, Bybit, and Bitget refunded users after xStocks failed to deliver SpaceX token allocations.
- Binance distributed $1 million in SpaceX shares via bStocks to affected participants.
- SpaceX shares rose 26% from IPO price of $135 to $172.31.
- xStocks cited overwhelming demand for inability to fulfill all orders.
- Hyperliquid and Coinbase International also offered pre-IPO SpaceX exposure.