One of the leading crypto exchanges, Bitfinex announces the launch of UNUS SED LEO Transparency Initiative. This initiative is built around a real-time token burn redemption mechanism. This mechanism marks the launch of LEO burn mechanism which may see iFinex gross revenues allocated to purchase the circulating LEO tokens at market rates.
Basically, to complement the launch of UNUS SED LEO burn mechanism, Bitfinex Exchange launched the ‘LEO Transparency Dashboard’. Hence, providing real-time insights into all collected platform fees, and subsequent LEO burns.
Basically, the first implementation of UNUS SED LEO burn mechanism involves revenue from trading fees only. The team at Bitfinex also plans to expand rapidly over the following weeks to include all revenue streams, including deposit/withdrawal fees, funding fees and further exchange products, resulting in an all-encompassing token buyback mechanism.
UNUS SED LEO Burn Mechanism
This token burn mechanism will see iFinex buy back UNUS SED LEO from the market, usually at market rates and on an hourly basis, equal to a minimum of 27% of consolidated revenues of iFinex. This burn mechanism will take place until 100% tokens are redeemed and no more tokens are in circulation.
The UNUS SED LEO tokens used to pay trading fees will also be burned. While the recovered funds from Crypto Capital, and recovers net funds from the Bitfinex hack. It will be applicable to purchase circulating tokens.