Opening up a WLEO option for smaller investors.

in LeoFinance6 months ago

In the Leo Discord, @khaleelkazi floated an idea that the clubs involved with LEO (Spinvest and Bro's) may consider pooling members funds to participate in the WLEO project. After a little chat with other SPI leaders, I have decided to take the lead and set this up. Anyone will be able to participate, subject to a minimum contribution.

Random picture of a pool of water (liquidity - get it?) sourced from Pixabay

Firstly - Important note:

Involvement in this process will require you to trust me (@jk6276) with your money. It is custodial and you would be sending an account that I run, and @silverstackeruk (the founder of Spinvest) holds keys for. If this is not for you, or you have any concerns about this, please don't participate.

You could lose money. There is risks involved. I can not and will not cover any loses any individuals may incur in this process for any reason. Caveat Emptor - Let the buyer beware.

How will it work.

  • A new Spinvest sub-account @spinvest-eth has been set up.

  • A new Ethereum wallet has been created - 0x9744dF35394B77860337d4b17a844B87EF341e83 . This is a separate wallet within my Metamask that I am sole key-holder for. The account address can be verified and audited by anyone at anytime. View on Etherscan

  • All you will have to do to participate will be to send LEO tokens to spinvest-eth. I will set a minimum to participate of 500 LEO. I need to do this to make the admin time worthwhile. Amounts below this will be manually refunded when I have time.

  • Deposits will be open for a limited time. Deposits open now, and will close on Monday 21st of September. That gives 2 1/2 weeks to join in.

  • I will track each persons contribution.

  • I will set a total minimum of 10,000 LEO contributed before this will be done. If we do not reach 10,000 LEO, all tokens will be refunded and the pool will not happen.

  • After deposits close, I will sell a portion of the LEO tokens on LeoDEX, and convert the proceeds to cover GAS fees.

  • Next I will convert all remaining LEO into WLEO.

  • Once the liquidity pool is up and running on Uniswap, I will swap around half of the WLEO into ETH.

  • After that, I will deposit the WLEO and ETH into the Liquidity Pool.

  • Each week, a report of will be produced from the @spinvest-leo account outlining the progress.

  • Once the rewards for providing Liquidity are received from LeoFinance, 25% will be retained by @spinvest-leo as compensation for my time and management of this process. This is being done to help smaller accounts to get involved, and bigger accounts that don't want to personally deal with the Ethereum eco-system. This is also being done to add a little income in to @spinvest-leo. If you don't like that, don't participate.

  • The remaining rewards (LEO tokens) will be transferred to contributors on a weekly basis. These will be payed proportionally to the share of this pool each user contributes.

Please don't participate in this with funds you can't afford to lose. Please don't participate in this if you may need the money back soon. The pool will be locked for a period of time, and no withdrawals of stake available in the short term. I will announce windows were withdrawals will be opened up, so it can be done in bulk instead of in small quantities. GAS is expensive - this is why we are offering this simplified, pooled approach. Any participant requiring urgent withdrawls will be solely responsible for all GAS fees and transaction costs. This may be more than the funds you contribute.

Alright, enough warnings - why SHOULD I participate.

  • A pooled approach shares the GAS costs among many people.

  • Open to anyone - no requirement to be a SPI member.

  • A pooled approach makes smaller contributions economically viable.

  • ROI - I have no forecast of what it will be - but there will be some unspecified return on your investment - hopefully.

  • Contributing to the growth of LeoFinance - and thus helping HIVE overall.

  • It will be a fun and interesting learning experience for all.

OK... Deposits are now open. Please send any LEO you wish to participate with to @spinvest-eth - minimum 500 LEO. You have until Monday 21st September to send funds. Please re-read this post before sending funds and ensure you understand and take full responsibility for what you are doing.

Remember, if we do not reach 10,000 LEO total by the cut off date, this won't happen, all LEO will be refunded.

This is open to anyone, you don't have to be a Spinvest member to participate.

AMA in the comments below.



Do your Own Research - not financial advice.

Posted Using LeoFinance


What a great opportunity. Thank you for offering, and thank you for doing it as a part of the @spinvest team.

Posted Using LeoFinance

Thanks Metzli - yeah I'm glad this came along, it has given our LEO a big boost, and if this pool gets of the ground, it'll contribute a little to Spinvest also, so its a win win all round.

Posted Using LeoFinance

Good to see this initiative from you!

I have a couple of questions:

Will this liquidity be perpetually locked in the pool or do you plan to remove it at some point? I mean, what if I want all my funds back after some time. Is there a way out?

Secondly, you said:

there will be some unspecified return on your investment

Will this return be provided from SPInvesr or you have some exclusive tie up with LEO Finance? A little clarificatio will be helpful.


Posted Using LeoFinance

Thanks @xyzashu, great questions. In the short term, (the first few weeks) I expect it will be locked in.

Once everything stabilizes, I plan to open up windows (perhaps one week each month) where people can request a withdrawal. The reason to try and manage exits like this is the same as why we are offering a pooled approach - minimising GAS FEES.

Of course, in the event of an emergency, individuals may request an urgent withdrawal, which I would process as soon as I can, but they will have to wear the full gas cost deducted from the total.

As for the returns, they are hard to predict and I definitely don't want to make any promises. This pool will earn the same potential income as any other investor in the WLEO/ETH LP, there is no special arrangement and this is not an official LeoFinance project. For expected returns on being in the LP, it would be best to check the official posts from @khaleelkazi, and LeoFinance and draw your own conclusions. There are no benefits from Spinvest - infact a portion of the bonus is being payed to Spinvest - reducing returns to individual participants. This "fee" if you like, is payed in compensation of my time running this, and is a price for the convenience for not having to personally wory about GAS, or ETH conversions or any of that. I'll look after that, for 25% of the bounty (paid to @spinvest-leo)

Does that make sense?

I think the return will be very nice, but I don't want to make any promises as there are risks and uncertainties involved.

Posted Using LeoFinance

This is a smart idea. Trying to give the opportunity to smaller accounts makes a lot of sense. The payouts should be strong, however not guaranteed.

Posted Using LeoFinance Beta

Mid range accounts that want to both stay staked in leo, but dip a toe in the LP game without any hassle should benefit as well. I guess we will find out also if people trust me. 😇

Really a smart idea. I think I'll personally opt to this. Meanwhile, you're also using the Leofinance beta 😊

Posted Using LeoFinance

OK, I notice you said 2.5 weeks until the collecting phase closes, coincidentally my last leo powerdown is close to that date, but even without the last one, I will be over the 500 Leo Threshold. I'd like to contribute all of it but most is OK! Not sure if I will make this or not,
but pretty happy with the LEO Growth lately! 💪😎👍

Posted Using LeoFinance

Most is good Undy. Like I said on discord, if it works, I'll probably open up a 2nd round option once the first deadline is over and the process is in place.

I just started a 500 leo unstake and I think it takes 4 weeks so I am out for this round but will get in on the next round. Thanks for doing this

Posted Using LeoFinance

Yeah, planning a 2nd chance if things go well. Had to put a deadline close enough to the LP opening, but early enough to get full benefits from the bonuses.

Great idea @jk6276. You seem like a trustworthy fellow to me!

I don't want to unstake all my LEO because I'm still focused on the content side of the LeoFinance community, but still wouldn't mind getting involved in wLEO if I can.

Not to mention I can't deal with how complicated ETH is so it's probably not for me. I can't even figure out how to access my Crypto Kitties through MetaMask, which look to now be forever in limbo. I mean, poor cats...


Anyway, can you put me down for 2000 LEO? I've just started unstaking 8000 LEO today, so I'll transfer you 2000 in 7 days from now.

Posted Using LeoFinance

Contenting is sweet, especially when you remember that all that is at stake is your time.

Posted Using LeoFinance

Thanks forexbrokr, I'm looking forward to getting this off the ground and am delighted you wan't to be a part of it.

Posted Using LeoFinance

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Awesome post!
The true nature of Defi!

Posted Using LeoFinance

Thanks mate, I appreciate the support for spinvest.

Posted Using LeoFinance

What a great idea @jk6276, thank you for organising!

Posted Using LeoFinance

Thanks Shani - can't wait to get this up and running.

Posted Using LeoFinance

Can't wait to get my powerdown! It's been such an exciting week, real rollercoaster!

I'd like to partake. I think it's interesting, so count me in. :-)

Awesome, I'm looking forward to getting it off the ground.

Posted Using LeoFinance

Yes, looks like a good opportunity to hop on to. Glad you're keeping track of it.
Enjoy your day.

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I'm thinking of going in with around 4K LEO, dyou think the GAS fees will be too high for me to bother with alone?

Sounds like this is a good opportunity.

Are you taking any cut personally or just putting the 25% back into Spinvest? I have a few SPI shares, so if that's the case it's a win-win!

Posted Using LeoFinance

Hey, the fees all go to spinvest, 0 for me. Reduced it to 20% today also. 4000 is marginal, but doable. Problem is if lots of people go in with leo, but no eth, they could crash the leo price trying to get involved. Swapping WLEO to ETH in the early days will push the price down.

Hope to see you get involved, but its also a great learning experience to do it solo.

I think I might give it a go solo, I might do that and throw in 500 to the Spinvest Pool too.

I can't imagine too many people swapping WLEO for a bargain ETH price!?

Posted Using LeoFinance

@josediccus here bro

Posted Using LeoFinance

Hi, I just found out about your service and I would like to participate. Are you still taking funds or am I too late?