Tokenomics of Leo token
I guess from past few days everyone in our community is keeping the close eye on price of Leo token. Everyone is trying to gather more and more Leo and are you still wondering why?
SourceIf you are wondering why then you will understand the reason by understanding the tokenomics of the Leo. I will use Hive in comparison with Leo to explain. Let take a look at below image that depicts some crucial data about Leo token supply.
This data is available in home of Leofinance.io and I have taken the snapshot around 10:00 PM GMT of 14th June.
So by this data you see that circulating supply of Leo is 4149262
Circulating supply of Hive is 358,906,631 from coingecko
First of all, there is difference in the circulating supply of Leo and Hive . It is 358 million vs 4.1 million. In rough calculation there is currently 1 Leo in circulation for every (358906631/4149262) = 86.5 Hive is circulating.
And yes, we have only Leo and Leo power and no concept like HBD (Hive Dollars exists.)
I think you have already find out by seeing the image that almost all of Leo in circulation is staked (89.85%) and only 4149262-3728024=421238 Leo is available in liquid form that can be traded in market.
Will you like to see how much liquid hive is available in exchange?
| Exchange Name | Hive account name | Hive Amount. |
|---|---|---|
| Bittrex | @bittrex | 18334649 |
| Binance | @binance-hot | 32656092 |
| huobi | @huobi-withdrawal | 36115004 |
| huobi | @huobi-pro | 4815758 |
| Bithumb | @rap7tq6vu58ujg | 8631976 |
This sum of hive come to 100553479 (more than 100 millions) and there of tons of small exchanges in world that have also Hive with them and do not forget there is lot of liquid Hive power in the user's account too. For sake of convenience, let take figure that 100 million liquid hive is available.
If I go on scarcity of getting Leo in comparison to Hive then it is 100553479/421238 = 238. It means getting one Leo has same scarcity that is of getting 238 Hive.
In other words we can say Hive is poorly staked (or hodled) 258 million/358 million (72%) as compared to Leo 89.85 %.
Note that 72% is upper limit of the calculation in reality it can be much less than 72%.
The burn rate of Leo is also nice 9% and Leo will continued to be burned in future with the ad revenues collected reducing the market supply as @khaleelkazi explained in this post. Users are also incentivized to use Leo platform by giving 10% extra Leo rewards if they use Leofinance.io for posting. Useof Leofinance.io platform will increase it's SEO rating that will lead to increased ad's revenue and more money available now for burning the Leo that again possibly increase it's price.
That's the reason there is so much interested aroused in Leo and everybody trying to get hold of this token and that is clearly reflected in its current price. (Limited supply and continuous burning of tokens).
I guess I am able to explain the tokenomics of the Leo token. Please feel free to ask if you have any question.
Posted Using LeoFinance
This is just the start of the LEO economy. There is a lot more that is going to be coming down the road including a totally revamped Leoshop. That will provide an outlet for content creators to further add to their businesses.
So much happening that will really expand the economy.
Posted Using LeoFinance
Hmm, Look like a solid foundation is now already laid down to build a sky scrapper on it.
I am seeing there are other tokens also that are trying to capture market both in and out of Hive. Yes there is lot of potential for co-operation and tapping the new markets.
i do believe there is great value in the Leo currency.
it is early and it appears a long game is the plan.
The Leo community has been very informative & helpful in this crypto journey.
So glad I landed there and looking forward to learning more
Look like we both are in same page.
Posted Using LeoFinance
The scarcity of LEO is definitely playing a part in its rise.
How scarce are HIVE tokens when compared to other coins out there? For example we saw HIVE just pump to $1. Was that because of its relative scarcity?
Posted Using LeoFinance
Hive also has good potential for growth, just imagine if all twitter user (more than 350 million) joins Hive, then we barely have 1 Hive for each.
If facebook "billion" user decide to join Hive, Hive will sky rocket. It will interesting to see how much "userbase" Hive adds vs increase in supply of Hive.
Leo Finance is a great community that I am just now getting into. I have been around but have not put any focus on Leo until this week really. I plan to start posting on Leo more now and trying to build up my Leo tokens. Thanks for this information I enjoyed reading your post.
Thanks for stop by.
Make sure to use leo interface when you post .
Posted Using LeoFinance
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