Don’t be fooled by appearances, Leverage Inu could not be further removed from your usual memecoin play.
Bored of the same tired formats being endlessly rolled out, the experienced Levi team has pooled together deep knowledge and passion for all things decentralized finance (DeFi) together with trading to present something entirely new. They call it MemeFi.
LEVI’s concept is simple. A 1% trading fee from all transactions is allocated by the Treasury toward yield farming and leverage trading in order to generate real-yield returns in Ether for holders.
Arbitrum’s impressive and growing ecosystem provides the perfect environment for LEVI to get to work. A portion of Treasury income is used to carry out trading, predominantly on GMX. The team also hedges against any trading losses by minting and staking GLP, which provides consistent income from GMX platform fees.
In just under three weeks, Levi’s Treasury has staked $20,000 in GLP, which, at the time of writing, is generating a yield of 52% APR paid in ETH. With decentralized trading as the hottest narrative in crypto — and GMX in pole position — this position will continue to grow to build a yield floor for holders.
At levi.finance, tracking data is integrated, which provides visitors with live information on yield positions and any open trades. As the project evolves, the website will continue to be refined by the team web developer.
Tokenomics and yield
LEVI’s launch was fair on Oct. 28 on Arbitrum One, with liquidity paired to ETH on Uniswap v3.
There is a non-inflationary supply of 1 million tokens, 95% of which was released into the market, with 5% reserved for community giveaways (and 40% of this allocation already burned).
Unlike other memes, there’s no tax, and the Treasury is funded only by a Uniswap trading fee of 1%.
Liquidity on Uniswap v3 was unable to be locked without sacrificing the fees, which enable the utility. This was soon resolved, and liquidity is locked until Dec. 3. This will be locked immediately upon adding novel new features enabling holders to interact directly with the Treasury.
A snapshot vote is currently taking place, and LEVI holders will be directing the terms of the next locking period. Oh, didn’t you know? This meme’s also a decentralized autonomous organization (DAO).
Holders will not be required to stake their LEVI. They simply need to hold the tokens in their wallet to receive periodic airdrops of profits generated by the Treasury, following the deduction of 20% gross profits for team commission.
With over $3 million in trading volume already, the Treasury has been able to start building a healthy floor of consistent yield. However, as the Treasury started at $0, it is to be expected that early yields will be low with higher yields to be returned on a cumulative basis.
The LEVI community recognizes this and, in LEVI’s first DAO proposal, voted 98.5% in favor of delaying the distribution of the first yield in order to compound earnings.
During current market conditions with long periods of sideways action, building generous yields from leverage trading can be challenging. LEVI traders will be looking to use a low percentage of Treasury funds per trade using low leverage (although they do sometimes indulge their degen inner nature). Another ongoing experiment involves exploring ways for the community to direct trades.
Furthermore, the team is using its DeFi prowess to test additional strategies that will bolster the Treasury. More will follow on this from the team once such strategies are more fully battle-tested.
Finally, what is a meme without community? Leverage Inu already has a loyal base that is growing by the day. There are regular giveaways and quizzes to encourage as much participation as possible. The team has also started to incorporate games on its website, with more to be added.
Best of all, the LEVI community is smart and, with their Telegram, fast becoming a hive-mind for DeFi enthusiasts and traders to discuss their ideas, experiences and alpha. The community doesn’t do raids or shame sellers — there’s so much more to talk about than fanciful price speculation and may it stay that way.
Leverage Inu is an innovative project without precedent. The team wants people to question why they continue to invest in the same tired high-tax format churned out by lazy “devs” where communities are peer-pressured into doing the work.
If you like what you read, the Leverage Inu team warmly invites you to leave your preconceptions at the door and take a look.
TG Portal: https://t.me/Leverageportal