The Leo Chronicles: the wrapped LEO Project
Source
Wrapped Leo version 2 or WLEO2 is launching November 10th, 2020.
I think it's important to understand a few ideas about it, in brief.
First
Leo is a second layer token on the Hive blockchain.
We want to create a trading pair on the ethereum blockchain.
Because Leo is not an Ethereum token, we must swap it for a ethereum token made specifically to represent a non-ethereum token, so that non-ethereum token can be traded on the ethereum blockchain.
So we create a ERC token; WLEO2 to represent your LEO token and do a swap, we given you one WLEO for each LEO you wish to swap. Now you have an ethereum token to trade on ethereum blockchain.
Second
You earn money on Uniswap, a decentralized exchange on the ethereum blockchain, by depositing a dollar equivalent amount of each coin that makes up a trading pair, into the pool of tokens available to trade. A dollar equivalent pair means a dollars worth of each toekn. For example you would deposit ten of a token valued at one dollar and two of a token valued at five dollars. This pool is called a Liquidity Pool, and if you provide those tokens you are a Liquidity Provider. By doing this you earn a portion of the transaction fees from people who trade WLEO for ETH and ETH for WLEO.
These earnings are paid in ETH or LEO.
Third
Leofinance is providing additional financial incentives to WLEO-ETH Liquidity Providers, they get both a portion of the transaction fees as rewards and 15% of the annual inflation of 2,000,000 Leo distributed via snapshots over time, so that the earlier and longer you provide Liquidity, the greater your APR or rewards are...
No other Project Does this!
This is great news for experienced Liquidity Providers and Yield Farmers, because instead of moving your investment capitol constantly in search of the best yield, you can increase your yield by not moving it.
Hmmm less work, more money
Where do I sign up? LOL!
But seriously it’s true! Do the math!
Fourth
Understand that DeFi is all about earnings, which is called the Liquidity Pool APR. Investors involved in earning money through providing Liquidity to Liquidity Pool trading pairs, basically hunt for the best APR, and then buy both coins, and deposit dollar equivalent amounts of each. This search for the highest APR and movement of investment capitol from Liquidity pair to another liquidity pair in search of the highest yield is called Yield Farming. But a UNIQUE characteristic of this pool is the 15% of annual inflation means you increase your yield by not moving your capitol!
Fifth
this WLEo-ETH trading pair investment opportunity is exiting because of the high APR it will provide, and because the large amount of money which will potentially be invested from outside our ecosystem will drive up or increase the price of both WLEo and LEO, since people need to wrap LEO and deposit it in the Liquidity Pool to provide this investment opportunity. So both the Liquidity Pool investors and the content creators/curators on the LEo interface benefit, due to the mutually beneficial outcome of increased price for LEO.
Final Thoughts
Do your own research into Liquidity Pools, and providing Liquidity. Invest what you can afford to lose, spread the word about wrapped LEo by retweeting this post. Thank you!
Posted Using LeoFinance Beta
It's a positive spin for the platform. More leo goes to pool less is available for curation and higher are curation rewards. We all benefit. At the same time, we get exposure outside our little cozy bubble.
Posted Using LeoFinance Beta
Hi @oldtimer
I agree we all win from increased Leo value, increased curation rewards for those not in the pool and generous Geyser rewards for those in the pool. A win-win!
Posted Using LeoFinance Beta
I'd love to see LEO become part of EOS in a similar way. I stayed out of wLEO because of prohibitive GAS fees.
Posted Using LeoFinance Beta
Hi @d-zero
I understand your concern about gas fees, and I think Leofinance is trying to “sweeten the pot” with Bonus rewards of 3 million Leo s awarded over 90 days. Food for thought
Posted Using LeoFinance Beta
You're incorrect. Where did you get the 3M figure?
15% inflation is going to WLEO Liquidity providers from now on, not 3M.
Cheers.
Posted Using LeoFinance Beta
You are correct, in another “evolutionary” move Leofinance will pay Liquidity Providers 15% of the annual inflation of Leo.
Thanks for pointing that out and giving me an additional point to explain and make this investment more attractive to liquidity providers.
Posted Using LeoFinance Beta
you're welcome :)
Thanks for the clarification :)
Posted Using LeoFinance Beta
Thanks for the info!
I still like the ease of having my LEO staked and having a good time curating :)
Posted Using LeoFinance Beta
I understand. I think the other side of the Leofinance project is the community and the whales have really gotten behind the community by increasing their curation efforts, along with the fact that those who stake and curate will probably earn more rewards, as those who unstake to invest in the liquidity pool will be drawing off less rewards from the pool. We all have our role to play as authors, curators or liquidity providers, and the diversity of choices makes the place more attractive in my eyes.
Amen!
Thanks
Posted Using LeoFinance Beta
Posted Using LeoFinance Beta
The platform has been growing in leaps and bounds in 2020 and its exciting to login every day to see what the banter is and the new changes, its really becoming more of an investment community than a blogging platform which is great, merging the 2
Posted Using LeoFinance Beta
Agreed, it in evolving into something more complex and beneficial then it was....
Posted Using LeoFinance Beta
Thanks!
Posted Using LeoFinance Beta
Thanks for these tips. They were very important to me, @shortsegments.
Posted Using LeoFinance Beta
Your welcome, I am glad you found it helpful, and I appreciate the compliment.
Thanks
Posted Using LeoFinance Beta
Following Trumpman's example, I am really trying to promote the positive aspects of our community!
Thanks #cryptomaniaccsgr #leofinance #jimmyfusz
Very good explanation of how Leo Finance is getting involved in the Decentralized Finance (DeFi) options. Wrapped LEO (wLEO) is going to really take our community and the Hive Blockchain Network to new heights!
With the concentrated marketing effort targeting current holders of Ethereum, as well as new innovative plans to onboard using other methods, LEO is shaking things up. Autumn is definitely seeing LEO ascending!
Posted Using LeoFinance Beta
Thank you, I am glad you found it helpful. We have a Loy to be excited about on Leofinance.
Really cool to see what Leo is doing. It is such a good example of what is possible.
Longterm I see the Leo community /token rising. Development continues to be innovative.
Cool stuff overall with multichain support and w-leo.
Posted Using LeoFinance Beta
Yes Indeed, the coin has potential to be highly valued and the community is developing additional streams of income. We may be very grateful in years to come, as we may be in very advantageous financial positions to profit from what we enjoy.
I am glad you appreciate the projects also. I have watched the token's value rise and fall, but the recent 10x from 0.015 to 0.15 to 0.30 and now it's new range 0.15 to 0.25 range, but I think your right, it may have significant appreciation again after WLEO and hopefully we replicate the three exchange listings and more after this.. DeFi has really shown itself to be the key to getting your name out there into a bigger group of eyeballs and investors.