Interest in pre-IPO investing has expanded as private companies remain private for longer and secondary marketplaces provide opportunities to buy and sell existing shares before a public listing. Companies such as Kraken, SpaceX, and Anthropic have generated significant demand from accredited investors seeking exposure before an IPO or direct listing.
For Canadian investors, however, access depends on marketplace eligibility rules, regulatory requirements, and transaction structures. Most platforms primarily serve U.S. accredited investors, while some also accommodate eligible Canadian investors through applicable securities exemptions.
Buyers should also understand how private shares are valued, whether transactions require issuer approval, applicable marketplace fees, and the risks associated with illiquid investments. The updated August 2026 guide below examines five well-known secondary marketplaces that facilitate private-company share transactions.
Understanding How Pre-IPO Secondary Markets Work
Unlike public stock exchanges, secondary marketplaces allow existing shareholders, such as employees, founders, or early investors, to sell shares to accredited buyers through direct transfers, tender offers, or forward contracts.
Pricing is generally based on recent funding rounds, 409A valuations, marketplace bids and asks, and company performance rather than a public market price. Most issuers also retain right of first refusal (ROFR) provisions or other transfer restrictions requiring approval before transactions close.
Kraken illustrates why these markets attract attention. The cryptocurrency exchange generates revenue from trading, custody, staking, institutional services, and derivatives, while ongoing IPO speculation has fueled investor interest despite the absence of a public S-1 filing.
Types of Platforms
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Forge Global
Forge Global is one of the largest private-market marketplaces, connecting accredited investors with shareholders seeking liquidity before an IPO. Forge has facilitated more than $17 billion in private share trades.
- Pre-IPO/Private market liquidity mechanics: Enables employees, founders, and early investors to sell private-company shares before an IPO or acquisition.
- Secondary market share transactions: Primarily supports direct secondary transfers, with selected issuer-sponsored tender offers and structured liquidity programs.
- Accredited Investor Requirements (US) vs. Eligible Investor Rules (Canada): Open primarily to U.S. accredited investors. Canadian investors may participate under applicable provincial securities exemptions.
- Valuation methodology: Pricing is informed by 409A valuations, recent funding rounds, marketplace bid/ask activity, and negotiated transaction prices.
- Kraken business fundamentals: Kraken earns revenue from trading, custody, staking, derivatives, and payments, making it a frequently tracked private-market company.
- IPO timeline speculation and regulatory filing status: Kraken has not publicly filed an S-1 as of August 2026, although IPO speculation continues.
- Risks of Pre-IPO investing: Investments remain subject to illiquidity, limited disclosures, ROFR provisions, and issuer approval.
- Fees and minimums for secondary marketplaces: Vary by issuer and deal size. Certain opportunities may require substantially larger commitments than traditional public-market investments.
- Fund vs. Direct-Share access models: Primarily facilitates direct ownership of private-company shares rather than fund or SPV structures.
Pros
- Extensive secondary-market liquidity across hundreds of private companies
- Strong pricing transparency supported by marketplace data
- Direct-share ownership model appeals to many sophisticated investors
- Broad institutional participation improves market depth
Cons
- Participation is generally limited to accredited investors
- Issuer approval and transfer restrictions can delay transactions
- Minimum investment sizes vary and may exceed some investors’ budgets
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Hiive
Hiive is a two-sided marketplace for buying and selling pre-IPO shares, connecting accredited investors with employees, founders, and early investors seeking liquidity. Hiive’s standard minimum transaction size is $25,000. You can find them on LinkedIn.
- Pre-IPO/Private market liquidity mechanics: Facilitates liquidity by matching existing shareholders with accredited buyers before an IPO or acquisition.
- Secondary market share transactions: Focuses primarily on direct secondary share transfers, with issuer approval required before transactions close.
- Accredited Investor Requirements (US) vs. Eligible Investor Rules (Canada): U.S. buyers must qualify as accredited investors. Canadian investors may participate where eligible under applicable provincial securities exemptions.
- Valuation methodology: Pricing reflects marketplace bids and asks, recent funding rounds, negotiated transactions, and other company-specific valuation signals.
- Kraken business fundamentals: Kraken generates revenue from trading fees, custody, staking, derivatives, and payment services, making it a closely watched pre-IPO company. Hiive’s marketplace may appeal to investors developing a liquidity thesis on Kraken before any potential public listing.
- IPO timeline speculation and regulatory filing status: Kraken has not publicly filed an S-1 as of August 2026, although reports continue to speculate about a future IPO.
- Risks of Pre-IPO investing: Investments remain illiquid and subject to issuer approval, ROFR provisions, limited disclosures, and extended holding periods.
- Fees and minimums for secondary marketplaces: Minimum transaction size starts at $25,000; marketplace fees vary depending on the transaction and issuer.
- Fund vs. Direct-Share access models: Primarily facilitates direct share transactions rather than pooled fund or SPV structures.
Pros
- Transparent marketplace connecting buyers and sellers directly
- Focus on issuer-approved secondary transactions
- Direct-share ownership rather than pooled fund structures
- Accessible to both institutional and accredited individual investors
Cons
- Limited to accredited investors
- Minimum transaction size may exceed some investors’ budgets
- Liquidity depends on seller availability and issuer approval
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EquityZen
EquityZen is a private-market investing platform offering accredited investors access to shares of venture-backed companies before they go public. EquityZen reports facilitating investments in more than 450 private companies since its launch.
- Pre-IPO/Private market liquidity mechanics: Provides liquidity by connecting existing shareholders with accredited investors before IPOs and acquisitions.
- Secondary market share transactions: Primarily facilitates secondary transactions through SPVs (special purpose vehicles), with selected direct-share offerings.
- Accredited Investor Requirements (US) vs. Eligible Investor Rules (Canada): Open primarily to U.S. accredited investors. Canadian investors may participate where securities exemptions permit.
- Valuation methodology: Pricing reflects recent funding rounds, negotiated secondary pricing, 409A valuations, and market demand.
- Kraken business fundamentals: Kraken’s trading, custody, derivatives, staking, and payment businesses make it a frequently sought-after private-market investment.
- IPO timeline speculation and regulatory filing status: Kraken has not publicly filed an S-1 as of August 2026, although speculation about a future IPO continues.
- Risks of Pre-IPO investing: Private investments remain subject to illiquidity, limited disclosures, ROFR provisions, and extended holding periods.
- Fees and minimums for secondary marketplaces: Minimum investments generally start around $10,000–$20,000, depending on the offering and investment vehicle.
- Fund vs. Direct-Share access models: Most opportunities use SPV/fund structures, giving investors indirect exposure rather than direct ownership of shares.
Pros
- Lower investment minimums than many institutional marketplaces
- SPV structure simplifies access to private-company investments
- Broad selection of well-known venture-backed companies
- Streamlined investment process for accredited investors
Cons
- Many investments use SPV structures instead of direct share ownership
- Available opportunities depend on active offerings
- Investors have less flexibility to negotiate directly with shareholders
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Nasdaq Private Market
Nasdaq Private Market (NPM) specializes in company-sponsored liquidity programs, helping private companies facilitate secondary transactions for employees, founders, and early investors. NPM has facilitated more than $70 billion in private-market transaction volume.
- Pre-IPO / Private market liquidity mechanics: Provides liquidity through issuer-approved secondary transactions before IPOs and other liquidity events.
- Secondary market share transactions: Focuses on tender offers, company-sponsored liquidity programs, and direct secondary transfers rather than an open marketplace.
- Accredited Investor Requirements (US) vs. Eligible Investor Rules (Canada): Eligibility varies by issuer program, with most opportunities limited to accredited or institutional investors. Canadian participation depends on applicable securities exemptions.
- Valuation methodology: Pricing typically relies on 409A valuations, recent funding rounds, negotiated pricing, and issuer-approved transaction values.
- Kraken business fundamentals: Kraken generates revenue through trading, custody, staking, derivatives, and payment services, making it a notable private-market company.
- IPO timeline speculation and regulatory filing status: Kraken has not publicly filed an S-1 as of August 2026, although market speculation about a future IPO remains active.
- Risks of Pre-IPO investing: Private shares remain illiquid and subject to issuer approval, ROFR provisions, limited disclosures, and uncertain exit timing.
- Fees and minimums for secondary marketplaces: Investment minimums and transaction fees vary by issuer and liquidity program.
- Fund vs. Direct-Share access models: Primarily facilitates direct secondary share ownership through company-approved transactions rather than pooled fund structures.
Pros
- Strong focus on issuer-approved liquidity programs
- Extensive experience managing tender offers and secondary events
- Backed by the Nasdaq brand and established market infrastructure
- Structured process reduces administrative complexity for issuers
Cons
- Most opportunities are available only during scheduled liquidity events
- Less flexible than continuously active secondary marketplaces
- Access is often limited to existing shareholders, institutional investors, or accredited investors
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Zanbato
Zanbato is an institutional private-market platform connecting broker-dealers, wealth managers, and accredited investors with private-company shareholders. According to Crunchbase, Zanbato has raised more than $80 million in venture funding.
Pre-IPO/Private market liquidity mechanics: Facilitates institutional liquidity through negotiated secondary transactions before IPOs or acquisitions.
Secondary market share transactions: Supports direct secondary transfers and negotiated institutional transactions; selected issuer-led liquidity events may also be available.
Accredited Investor Requirements (US) vs. Eligible Investor Rules (Canada): Primarily serves accredited investors and institutions. Canadian participation depends on provincial securities exemptions.
Valuation methodology: Pricing reflects recent funding rounds, negotiated valuations, 409A reports, and institutional market demand.
Kraken business fundamentals: Kraken’s trading, custody, derivatives, and staking businesses make it a closely watched private-market issuer.
IPO Timeline speculation and regulatory filing status: Kraken has no public S-1 filing as of August 2026, although IPO speculation continues.
Risks of Pre-IPO investing: Investments remain illiquid and subject to ROFRs, issuer approval, limited disclosures, and uncertain exit timing.
Fees and minimums for secondary marketplaces: Transaction fees and minimum investments are negotiated and vary by issuer and deal.
Fund vs. Direct-Share access models: Primarily facilitates direct secondary share transactions, not pooled investment funds.
Summary Table
| Platform | Pricing | Key Feature | Best For | Limitation |
| Forge Global | Transaction-based | Large secondary marketplace with pricing data | Institutional and accredited investors seeking broad issuer coverage | Issuer approval may delay transactions |
| Hiive | $25,000 minimum transaction | Two-sided marketplace with issuer-approved transactions | Accredited investors seeking direct secondary share purchases | Limited to accredited investors |
| EquityZen | Typically $10k–$20k minimum | Curated fund and direct-share opportunities | Investors seeking simplified pre-IPO access | Many investments use fund structures |
| Nasdaq Private Market | Varies by issuer | Company-sponsored liquidity events and tender offers | Existing shareholders and institutional investors | Limited open marketplace access |
| Zanbato | Negotiated | Institutional secondary marketplace | Broker-dealers, wealth managers, and institutional investors | Less accessible for individual investors |
Independent Expert Perspective
PitchBook’s 2025 U.S. Venture Capital Outlook notes that startups are staying private longer, increasing demand for secondary transactions and pre-IPO liquidity for investors.
Frequently Asked Questions
Can Canadian investors buy pre-IPO shares?
Yes, but eligibility depends on Canadian securities regulations and the marketplace’s requirements. Many platforms restrict participation to accredited or eligible investors using available prospectus exemptions.
How are pre-IPO shares priced?
Private-company shares are commonly priced using a combination of recent funding rounds, 409A valuations, marketplace bids and asks, company performance, and supply and demand among buyers and sellers.
What risks should investors understand before buying pre-IPO shares?
Pre-IPO investments can be illiquid, offer limited financial disclosure, remain subject to issuer transfer restrictions or rights of first refusal, and may take years before an IPO or acquisition provides liquidity.
What’s the difference between buying through a fund and buying shares directly?
Fund structures provide indirect ownership through an investment vehicle, while direct secondary transactions transfer actual shares between existing shareholders and accredited buyers, subject to issuer approval.
Endote
The best platform depends on investment goals, eligibility, preferred transaction structure, and risk tolerance. Comparing marketplace access, liquidity options, fees, and ownership models will help Canadian investors choose a pre-IPO investing platform that best fits their long-term strategy.