@khaleelkazi's thread
I hadn't put a ton of thought into this until recently
The goal of LeoStrategy is to deliver Products, Services and Derivatives that all have varying volatility profiles
Why does this matter? Because LeoStrategy market makes the volatility to generate revenue
So having external factors driving price discrepancies (i.e. a tokenized stock like NVDA tracking the NVDA price movements on the actual stock market) means that the price just naturally moves on its own. This price movement causes arbitrage windows to open
Then LeoStrategy market makes those windows and generates a small profit. These profits add up daily and buy more LEO
The act of buying more LEO daily means:
- More LEO on their balance sheet
- Higher LEO price (since they are a constant buyer)
These two things lead to more USD value of the LEO collateral backing the tokenized shares which leads to more room for expansion
Rinse & Repeat to a $1B+ derivatives market. Backed by LEO
