> For the complete documentation index, see [llms.txt](https://docs.lighter.xyz/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.lighter.xyz/trading/real-world-assets-rwas/pre-ipo-markets.md).

# Pre-IPO Markets

Pre-IPO markets follow the same design as other RWA markets, with a few important differences.

### Pricing

Pricing is determined only by the internal pricing mechanism.

This mechanism works the same way as for RWA markets, except **Pre-IPO markets do not have price caps**.

### Margin mode and liquidations

Pre-IPO markets operate in **isolated mode only**.

Unlike prelaunch markets, **liquidation fees still apply since the LLP is going to be a market-maker on these markets**.

### Funding

Funding works the same way as standard perp markets.

### Settlement

Pre-IPO markets will either be settled after the IPO or have their prices adjusted once the number of fully diluted shares becomes clear. In either case, any changes will be announced at least one day before they are carried out.