Latest news about Bitcoin and all cryptocurrencies. Your daily crypto news habit.
Bitfinex has committed to using 27% of Tokinex’s past and future revenue for burning the LEO utility tokens.
Bitfinex cryptocurrency exchange announced that it will spend 27% of past and future Tokinex revenue on burning LEO tokens, according to an official blog post on July 8.
Bitfinex unveiled LEO in May as the native utility token for its initial exchange offering (IEO) platform Tokinex. Parent company iFinex committed to burning LEO tokens, until commercial circulation runs dry, in the LEO token whitepaper:
“On a monthly basis, iFinex and its affiliates will buy back LEO from the market equal to a minimum of 27% of the consolidated gross revenues of iFinex (exclusive of Ethfinex) from the previous month, until no tokens are in commercial circulation. Repurchases will be made at then-prevailing market rates. LEO tokens used to pay fees may also be used to satisfy this repurchase commitment.”
The recent, official blog post stressed that the 27% figure applies to “past and future” revenues.
Bitfinex said that it has now used revenue generated by the first IEO on Tokinex, Ampleforth, to buy up outstanding LEO tokens. Ampleforth’s IEO raised $5 million on the platform within 11 seconds, selling 10% of its token supply.
Bitfinex additionally announced the “LEO Transparency Dashboard” in June, which purportedly shows how much LEO has been burned, along with a list of the burn transactions.
Disclaimer
The views and opinions expressed in this article are solely those of the authors and do not reflect the views of Bitcoin Insider. Every investment and trading move involves risk - this is especially true for cryptocurrencies given their volatility. We strongly advise our readers to conduct their own research when making a decision.