Earlier this week, the LSTR initial sale was fully committed (sold out) and now, 100,000 LSTR tokens are in the hands of investors who see the future how we see it: the Leo Team has proven at every turn to be highly capable at innovation. LEO 2.0 fixes the economic issues that LEO faced in terms of realizing the economic value (and potential value) of everything the LEO Team and Community are building.
Our believe is that the LEO token is heading for $100. The team has been building massively valuable products for the cross-chain ecosystem and people are starting to notice. The number of unique traders on LeoDex continues to grow. Right now, LEO is trading at $0.12 and this presents an opportunity to 800x+ your investment in a project that has never ceased to amazing the ecosystem.
LeoStrategy is a permanent capital vehicle that invests in LEO with a treasury strategy to accumulate as much LEO as possible. With revenue-generating strategies to bolster our balance sheet while staking LEO as sLEO to earn USDC yield and compound for more LEO, the balance sheet of LeoStrategy's LEO holdings grow on a daily basis.
Our capital is permanent which means we never sell our LEO because we don't have to. The LEO we acquire is permanently staked as sLEO and cannot be sold.
LSTR Liquidity at 10% to Market Cap
The LSTR initial sale is sold out and a liquidity pool was seeded with $5,000. This pool has since grown to nearly $10,000 as some LSTR investors have seen the opportunity to both support the project and create a unique exposure to the LEO Token Ecomomy by having LSTR:LEO pooled together.
The LBI - @lbi-token - community created a pool as well and it has been seeded with $5,000.
With LSTR's market cap at about $157,000, this means that we have ~10% liquidity-to-market-cap. This is very healthy for a crypto economy and it has allowed new investors to enter the fund while some investors from the Initial Sale take profits (at nearly 60% return in just a few days).
It is amazing to see such conviction and support. We appreciate you being on this journey with us to build the "Microstrategy of LEO". The capital structures and revenue-generating products that we have in the pipeline are built with one simple mission: acquire and permanently stake as much LEO as possible.
With LEO 2.0, the LEO Token Economy is now deflationary while it also absorbs economic value from all the activity of the LEO Team and Community. This ecosystem is vast and its creating deep, lasting connections in the cross-chain industry. These developments are driving millions of dollars in value over the coming months to the LEO token.
As a financial layer for LEO, LeoStrategy can unlock even more economic value and activity and accrue all of it back into the LEO Token. This is what we are built to be: essentially a black hole that sucks in value, buys LEO and never lets that LEO leave our sLEO stake.
Volatility Harvesting, Income and LPS
Volatility Harvesting is how Microstrategy generates 99.99% of their revenue. In simple terms, they have created not only volatility harvesting around the MSTR equity asset but also all their various derivative products. This generates massive economic value for MSTR as they are able to harvest volatility as USD income, buy more BTC with it and increase their balance sheet's holdings of Bitcoin. This allows them to create more derivatives and repeat the cycle.
This swarm of volatility harvesting and economic activity is exactly what we intend to build with LeoStrategy. Now that two LSTR pools exist on Hive-Engine alongside the LSTR order book, you will see our strategy deployed to generate yield for the fund.
We are also building market making bots that will harvest volatility on the LEO, bLEO, pLEO, heLEO pairs. These bots will undercut the bots being operated on Hive that simply vampire value out of tokens like LEO by arbitraging for some person's economic gain.
LeoStrategy will undercut these bots and run our own. These bots will arbitrage the LEO pairs - which is a value-add to the LEO economy as it improves pricing - however, the economic profits that come from operating these will follow with LSTR's mission statement: our profits from volatility harvesting will purchase LEO and add it to our balance sheet as sLEO.
LSTR has a roadmap to deliver derivatives that follow a similar strategy as Microstrategy. These derivatives will be heavily over collateralized and will create further economic activity on top of the LEO Token economy. All of this economic activity leads to volatility which can be harvested in a bottle and deployed back into purchasing more LEO to add as sLEO to our balance sheet.
What's Next for LeoStrategy?
If you want a lens into what we're building, study Microstrategy and how their framework has led to an accumulation of more than 600,000+ BTC.
We intend to use this framework to build a treasury of millions of LEO which can be leveraged to deliver derivatives to the market that generate accretive income through volatility and can be re-deployed into the fund to purchase more LEO and bolster our balance sheet further.
LeoStrategy owns more than 1,000,000 LEO today and this number is growing rapidly. We still have a significant war chest of capital from our initial sale which is being deployed daily into LEO purchases. This balance sheet is the basis of our strategy and sets us up to acquire more LEO.
Will LeoStrategy own 10,000,000+ LEO by the end of 2025? That is our goal and we will do our best in achieving it.
Right now, we are finishing our work on @lstr.voter which is our first income-producing, autonomous service to the market.
This service generates LEO yield for the LeoStrategy fund via a 10% management fee. It also introduces utility and value through votes to all LSTR stakeholders.
We have a roadmap for dozens of financial products that live inside the LEO Token Economy and deliver value to the ecosystem while adding LEO to the LeoStrategy balance sheet. These products/services will be delivered consistently while we also add derivative markets as described above in our quest to acquire as much LEO as possible on the journey to $100/LEO.
Join us!
You can track and trade in/out of the LSTR fund using 3 methods now:
- LSTR Order Book on HE -> https://tribaldex.com/trade/LSTR
- LSTR:LEO Pool -> https://beeswap.dcity.io/swap?input=LSTR&output=LEO
- LSTR:LBI Pool -> https://beeswap.dcity.io/swap?input=LSTR&output=LBI