Bitfinex to Use 27% of Tokinex Revenue to Burn LEO Tokens

Bitfinex to Use 27% of Tokinex Revenue to Burn LEO Tokens

Bitfinex announced that its IEO platform Tokinex would use 27% of past and future revenue for LEO utility token burns

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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. 

The post notes that Tokinex’s next IEO is scheduled for July 16. It will run the IEO for Ultra, a blockchain-based PC gaming platform. 

As previously reported by Cointelegraph, Bitfinex said it repaid $100 million of outstanding loan facility to stablecoin operator Tether. The repayment came months after New York Attorney General Letitia James filed a complaint alleging that Bitfinex had lost $850 million and used funds from Tether to hide the losses.


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Bitfinex announced that its IEO platform Tokinex would use 27% of past and future revenue for LEO utility token burns

Ampleforth Raises $5M in 11 Seconds in Tokinex Exchange Offering

Ampleforth Raises $5M in 11 Seconds in Tokinex Exchange Offering

Token project Ampleforth has raised $5 million in 11 seconds in its initial exchange offering on Tokinex

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Ampleforth has raised $4.9 million in 11 seconds in its AMPL token sale, according to an announcement on June 13.

The initial exchange offering (IEO) was the first to take place on Ethfinex and Hong Kong-based crypto exchange Bitfinex’s Tokinex platform .

An IEO is an alternative to an initial coin offering (ICO) in which a centralized exchange is responsible for vetting the token projects and investors, and then subsequently conducting the initial sale of the token.

This IEO, ran by Tokinex, reportedly sold off 10% of Ampleforth’s total token supply, which will be available to its initial investors some time in the next few days.

Ampleforth purports to be a token that is balanced around an equilibrium price target, but says that it does not qualify as a stablecoin, at least initially.

The cryptocurrency is designed to periodically add or subtract tokens from an investor’s holdings in order to match exchange rate fluctuations, meaning that it has a correspondingly fluctuating market capitalization.

This also means that this token is expected to have a low correlation with bitcoin (BTC) compared with other crypto assets, they say.

The IEO platform Tokinex first launched back in May. Bitfinex and Ethfinex users can participate in IEOs using funds from their own exchange wallets. The platform also uses Know Your Customer (KYC) processes powered by the Blockpass mobile app for sales and IEOs hosted on the platform.


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Token project Ampleforth has raised $5 million in 11 seconds in its initial exchange offering on Tokinex