What is LEO?
UNUS SED LEO (LEO) is a special type of token used within the iFinex ecosystem, mainly offering discounts on trading fees at Bitfinex. It has a unique feature where the company buys back and destroys tokens over time, reducing the total supply.
- Used to get fee discounts on Bitfinex
- Supply decreases through company buybacks
- Designed to be phased out eventually
Deep Dive
1. Purpose & Value Proposition
LEO was launched in 2019 by iFinex, the parent company of Bitfinex, to help recover funds lost during a legal issue involving Crypto Capital. The main benefit of holding LEO tokens is getting discounts on trading fees at Bitfinex. These discounts increase based on how many LEO tokens a user holds. For example, users can get up to 15% off on crypto-to-crypto trades, encouraging people to keep their tokens rather than sell them (CoinMarketCap).
2. Tokenomics & Governance
LEO operates on a buyback-and-burn system. This means iFinex uses at least 27% of its monthly revenue to buy LEO tokens from the market and then permanently removes them from circulation by “burning” them. This process reduces the total number of tokens available, making each remaining token potentially more valuable. The total number of LEO tokens is capped at 985 million, with about 922 million currently in circulation as of October 2025. Unlike many cryptocurrencies that exist indefinitely, LEO is designed to be completely bought back and retired over time.
3. Key Differentiators
- Temporary token: LEO is planned to be phased out eventually, unlike tokens with unlimited supply.
- Transparency: iFinex regularly publishes reports showing how many tokens have been bought back and burned, so users can track progress.
- Strong ecosystem ties: LEO is closely linked to Bitfinex’s services, offering benefits like staking rewards and margin trading perks, which helps maintain demand for the token.
Conclusion
LEO is a unique token that acts like both a loyalty reward and a corporate financial tool. It offers real benefits on Bitfinex while steadily reducing its supply through buybacks. One question to watch is how changing regulations might affect iFinex’s ability to continue these buyback programs in the future.