LEO Token (LEO)
LEO Token, also known as UNUS SED LEO, is a utility token and cryptocurrency offering holders discounts on trading, lending, and exchange fees on exchanges operated by iFinex, including Bitfinex, Ethfinex, and EOSfinex.
History
Launch
iFinex launched UNUS SED LEO in May 2019 through an Initial Exchange Offering (IEO), with a private sale in May and a public sale in June, raising $1 billion by selling tokens at $1 each. The tokens were initially issued on two blockchains: 660 million ERC-20 tokens on Ethereum and 340 million EOS-based tokens on EOS, with Bitfinex facilitating cross-chain conversions. The token's name, UNUS SED LEO, is derived from the Latin phrase "Unus Sed Leo," emphasizing the moral of quality over quantity.
| Ticker | LEO |
| Category | Exchange-based Tokens |
| Website | https://www.bitfinex.com/ |
| @bitfinex | |
| Telegram | bitfinex |
| https://www.reddit.com/r/bitfinex/ | |
| Contract Addresses | |
|---|---|
| ethereum | 0x2a...a3 Copied! |
| sora | 0x00...56Copied! |
Crypto Capital seizure
In late summer 2018, Crypto Capital informed Bitfinex that funds in its custody were subject to a partial government seizure but expected to be released shortly. By the end of 2018, Bitfinex negotiated a credit facility for a secured, revolving line of credit due to concerns over fund recovery.
Bitfinex hack
On August 2, 2016, Bitfinex experienced a hack resulting in the loss of 119,756 BTC. In response, Bitfinex issued BFX tokens to affected customers, which could be exchanged for company equity or redeemed. In February 2019, Bitfinex recovered 27.7 BTC with U.S. government assistance, and later, additional BTC was recovered with Poloniex's help. In February 2022, the U.S. Department of Justice recovered nearly 94,000 BTC, marking the largest financial seizure by the department. Bitfinex plans to use 80% of recovered funds to repurchase and burn UNUS SED LEO tokens within 18 months of recovery.
Tokenomics
Burning
iFinex commits to repurchasing and burning LEO tokens monthly, equating to at least 27% of the previous month's consolidated gross revenues, continuing until no tokens remain in circulation. Moreover, iFinex plans to use 95% of net funds recovered from Crypto Capital and 80% from the Bitfinex hack for additional token repurchases and burning.
The transparency initiative
Launched on June 14, 2019, the UNUS SED LEO transparency initiative offers token holders verifiable insights into the token buyback process, available through the official website. Initially focused on trading fees, the burn mechanism will expand to include all revenue streams. Tokens are burned every three hours until the entire supply is removed from circulation, with the token's lifespan linked to fees generated through iFinex.
Utility
LEO token provides fee reductions for iFinex's trading platforms. LEO holders receive a 15% reduction in taker fees for crypto-to-crypto and crypto-to-stablecoin pairs, with an additional 10% reduction for holders of over 5,000 USDT in LEO. LEO holders also benefit from a 25% discount on withdrawal and deposit fees, applicable to users holding over $50 million in LEO tokens, allowing withdrawals of up to $2 million without extra fees across iFinex platforms like Bitfinex and EOSfinex.