Leo Coin

LEO Coin (LEO) is a utility token that was developed with the intention of enhancing the Bitfinex community and optimising the operations of the platform on the Bitfinex exchange as well as other trading platforms over which iFinex is in charge.

How Does LEO Coin Work?

Having been introduced in May of 2019, the US SED LEO token has quickly reached to the top of the list of cryptocurrency tokens in terms of market capitalization value. Comparable to Binance Coin, it made it into the top 10 token clubs and received much attention. In May of 2019, the parent company of Bitfinex, iFinex, made an announcement regarding their intention to issue one billion LEO tokens that are tied to the tether stablecoin. The first day of trading with LEO was on May 20th, and it was against Bitcoin, USD, USDt, EOS, and ETH.

What is the purpose of the LEO Token?

A reduction in taking and lender fees is one of the goals of the LEO token, which is designed to improve the Bitfinex exchange and the EthFinex digital asset trading platform. It is anticipated that it will reduce the taker costs charged to holders by fifteen percent for all crypto-to-crypto pairs, including crypto-to-stablecoin pairs. There will be an additional 10% decrease in taker costs for LEO holders who have more than 5,000 USD in LEO. There will be a fee reduction of 0.05% made available to financing lenders for every 10,000 USD worth of LEO tokens that are held in their accounts.

Traders will be able to purchase any fee level for a period of thirty days by virtue of the LEO token team’s guarantee to deduct up to twenty-five percent of trading fees first in LEO. The holders of LEO are eligible to enjoy a discount of 25% on the fees associated with cryptocurrency withdrawals and deposits. This reduction enables users who possess more than 50 million LEO to withdraw USD 2 million without incurring any additional fees. This is consistent with the trading tier that is currently in place in USD.

Through the provision of cash for general business objectives, the strengthening of working capital, the covering of expenses, the repayment of debt, and the recapitalization of resources, the initial exchange offering of the LEO token will improve the prospects for company.

To what extent does the LEO Token Economy operate?

In order to deflate their value, LEO tokens are burned on a monthly basis, and the burns are more rapid than those of Binance Coin. The cash that were recovered from Crypto Capital, a payment processing business based in Panama that was engaged in a Bitfinex breach, would be used by iFinex to repurchase and burn other LEO tokens that are still outstanding. As long as the tokens are considered to be in circulation for commercial purposes, the process will continue. As was the case with the Bitfinex hack in 2016, the repurchases will be carried out across many transactions. The goal is to repurchase eighty percent of the monies that have been redeemed, and there will be a period of eighteen months to protect against market spikes.

LeoCoin History

Bitfinex, an exchange that focuses on blockchain technology, was founded in 2012 and is one of the oldest participants in the market. Quality is more important than quantity at this organisation, which employs more than one hundred specialists. As a result of a security compromise in 2016, more than 72 million dollars’ worth of Bitcoin was taken from customer accounts. The cryptocurrency exchange was accused of neglecting to disclose a loss of more than $850 million that was associated with deposits made to Crypto Capital in 2019. Currently, Bitfinex is engaged in a legal dispute with the state of New York. For the purpose of acting as a guarantor and carrying out due diligence procedures, Bitfinex and its sister firm, Ethfinex, founded Tokinex in December of 2019.