PIPE
Private placement of public equity shares to accredited investors at a discount, for quick capital.
What is PIPE?
PIPE, or Private Investment in Public Equity, involves selling unregistered shares to select investors below market price, often for rapid funding without public offerings. It provides companies immediate capital, with registration following, common in distressed or growth scenarios.
In digital asset firms, it could fund treasury expansions, though Strategy primarily uses ATMs and converts; PIPEs offer alternatives for confidential raises.
Related Terms
Merkle Patricia Tree (MPT)
A specialized data structure in Ethereum that combines a Merkle Tree with a Patricia trie to efficiently store and manage key-value pairs.
Polygon PoS Chain
Polygon's proof-of-stake sidechain that parallels Ethereum, offering high-throughput transactions secured by its own validators.
Margin Call (Lending)
A notification to borrowers to add collateral or repay part of a loan to restore a safe LTV ratio.
Liquidity Fragmentation
The dispersion of liquidity across multiple pools, chains, or exchanges, leading to inefficient pricing and higher costs.
Matching Engine
The algorithm that pairs buy and sell orders in exchanges based on rules like price-time priority.
PIPE
Private placement of public equity shares to accredited investors at a discount, for quick capital.