What is UNUS SED LEO? Everything you need to know about LEO

UNUS SED LEO is a utility token that was created by the cryptocurrency exchange Bitfinex. It was designed to provide various benefits to users of the platform, such as discounts on trading fees, faster withdrawals, and access to exclusive features.

UNUS SED LEO is a distinctive token in the world of cryptocurrency. For further information, please refer to the article on AZCoin.

What Is UNUS SED LEO (LEO)?

Description Of Unus Sed Leo
Description Of Unus Sed Leo

UNUS SED LEO (LEO) is a utility token designed to be used within the iFinex ecosystem, the company that owns both the Bitfinex cryptocurrency exchange and the Tether (USDT) stablecoin. The name comes from a Latin phrase referencing one of Aesop’s fables.

Brief History of Unus Sed Leo?

In 2019, Unus Sed Leo Limited, a subsidiary of iFinex, introduced the utility coin LEO. The company’s white paper was published in May of that year. LEO tokens serve as a utility token for Bitfinex’s various products.

The coin was issued through an Initial Exchange Offering(IEO) from May 2019 to May 13, 2019. Capital Corporation, a payment processor holding funds from various exchanges, had some funds held by the government due to alleged illegal transactions between Tether Inc and Bitfinex.

Bitfinex, a subsidiary of iFinex, warned about the difficulty of recovering lost funds. To cover the shortfall, they launched the LEO token through an IEO to raise 1 billion, with each LEO token pegged to 1 USDT for the entire supply during the fundraising.

After the 2016 hack, Bitfinex used funds from Tether Inc to cover the loss, which was deemed illegal by New York authorities. To avoid this, iFinex launched LEO tokens on Ethereum and EOS blockchains. They raised $1 billion through an IEO, planning to repay investors with monthly token burns using 27% of net profits.

To increase transparency, a dashboard has been set up. The buyback program will run until 100 million LEO tokens are completely eliminated from circulation, effectively rendering the token obsolete in the future.

How Does LEO Work?

LEO is used as a token for discounts and trading
LEO is used as a token for discounts and trading

UNUS SED LEO (LEO) is used as a token for discounts and trading on all iFinex products. LEO provides reduced fees for takers, lenders, derivatives traders, and withdrawals/deposits on Bitfinex and EOSfinex, up to 25% off. Any upcoming platforms by iFinex will also offer discounts to LEO holders. The amount of discount depends on the user’s account status, LEO holdings, and trade type on Bitfinex.

Moreover, users with over 50 million worth of LEO tokens can enjoy fee-free withdrawals of up to 2 million. Owning LEO tokens brings benefits like saving on fees, monthly discounts, and reduced fees for withdrawing and depositing both crypto and fiat currencies on Bitfinex.

To discover reviews of reputable cryptocurrency exchanges that offer Unus Sed Leo for buying and trading, visit the Top Crypto Exchanges page on AZCoin

Characteristics of LEO Token?

Features of LEO Token
Features of LEO Token
  • Limited Duration: LEO token is not permanent, as it operates on a buyback and burn system where iFinex company repurchases and burns the entire initial and maximum supply using a portion of its profits.
  • Discount and Marketplace Usage: Primarily functioning as a discount token for Bitfinex platform, LEO offers fee discounts on main and subaccounts, deposits, and withdrawals. Discounts are determined by user status, amount of UNUS SED LEO held, and trade type.
  • Marketplace Token for iFinex Products: Besides Bitfinex, LEO serves as a marketplace token for all iFinex products, granting access to various offerings on the platform.
  • Dual Blockchain Support: LEO operates on both Ethereum and EOS blockchains, allowing users to transact the token as an Ethereum or EOS token interchangeably.
  • Smart Contract Compatibility: Both blockchains support smart contracts, enabling developers to create DApps and integrate LEO into them for diverse use cases across both chains.
  • Ecosystem Neutrality: LEO token is agnostic towards ecosystems, facilitating seamless integration and utilization across different platforms.

During an AMA with Bitfinex hosted by Atomic Wallet, it was mentioned that the token is neutral. Bitfinex plans to enhance the token by incorporating a protocol to establish decentralized data streams and markets.

This concept aims to position the token as the foundation of its social platform, Bitfinex Pulse, and market distribution strategy. By serving as the core of Bitfinex Pulse, a platform for traders to share news and insights, the token will be well-suited for integration with the social platform.

Pros and Cons of LEO Coins

Advantages and disadvantages of LEO Token
Advantages and disadvantages of LEO Token

Similar to other digital currencies like Binance Coin (BNB) or USD Coin (USDC), there are multiple methods to acquire and hold onto this particular cryptocurrency:

Pros

  • Exchange Token: LEO coin is used as the exchange token on Bitfinex, reducing fees.
  • Discounts: LEO holders get fee discounts for withdrawals and deposits on Bitfinex.
  • Discount on iFinex Products: Holding LEO tokens gives discounts on other iFinex products.
  • Fast Transactions: EOS Blockchain offers faster transactions compared to Ethereum.
  • Available on Double Blockchains: LEO tokens are available on two blockchains, attracting investors from both communities.
  • Security: Funds are secure with a buyback guarantee, deployed in highly secured blockchains, and stored on exchanges for added security.

Cons

  • Inaccuracy in data updates may lead to trust issues and affect token holders.
  • Reduced benefits could cause distrust if investors feel they are not getting promised discounts or buybacks.
  • Investors have no long-term investment option as the token will eventually cease to exist.
  • Price manipulation risk exists due to the company continuously buying back tokens, potentially impacting price stability.

Investing in UNUS SED LEO: Should you or not?

While UNUS SED LEO offers unique features like token burn and various use cases, investors should also be mindful of potential risks such as price manipulation and the token’s purpose to cover fund losses.

The decision of whether UNUS SED LEO is a suitable investment depends on each investor’s risk tolerance and investment objectives. Like with any investment, it is essential to carefully evaluate the risks and rewards before deciding to invest.

The end

The Unus Sed Leo Coin demonstrates how users and operators of a cryptocurrency platform can collaborate to financially secure the platform. Before deciding to invest, it is important to thoroughly evaluation process AZCoin and consider your options. Good luck and best wishes for success in your decision-making process.

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