How Is a Pre-IPO Company's "Share Price" Determined on Hyperliquid?

Trade.xyz launched a Pre-IPO perpetual contract, xyz:CXMT, on Hyperliquid on July 14, tracking the expected USD value of one A-share of ChangXin Memory Technologies, which is not a stock and gives no ownership, IPO allocation, dividends or voting rights. The contract started from a $5 reference price set by Trade.xyz, and its price is set by order book trading rather than an external share price. Per the article, the mark price was about $7.37 as of 02:13 UTC on July 16, roughly 5.76 times the RMB 8.66 IPO price, with a 20% Discovery Bound that re-anchors up to seven times in each direction explaining the moves through $6, $7.20 and $8.64.