RE: LeoStrategy Token Buybacks | Re-Pegging After a 50% BTC Drawdown
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1). Effective immediately, 100% of stablecoin yield is used to buyback and permanently remove tokens (SURGE and RWAs) off the market and hold them inside the RCBF Treasury.
2). See the https://leostrategy.io/recovery page
3). Yield is not stopped, it is redirected to rebased buybacks. As a token holder, you still earn an identical amount of "yield" though during a recovery switch, this yield is folded as equity. Consider this: if your yield was $1,000 per week (just for an example) and that $1,000 is instead used to purchase SURGE off the market and permanently remove it from the circulating supply, then your equity value effectively increased by $1,000. Yield is still earned -- just as equity upside instead of liquid tokens
This upside is amplified by perception. As tokens are quickly rebased and revalued toward their peg, the market gains more confidence and pushes this beyond the natural buybacks. $1,000 in buyback pressure could actually = $2,000+ in equity gained. Once assets are re-pegged, stablecoin yields resume.
4). The RCBF already does this -> https://leostrategy.io/rcbf - and will be expanded in terms of functionality and "intelligence" in the coming days
Can you explain what account will buyback SURGE? And will you buy it every day or once a week?
Will it be a market order on hive engine?
or buys from hive engine, liquidity pools and off chain?
Final question. Is it accurate to say the liquid yield that was owed to me as of Sunday at 0:00 UTC will not be paid in HBD?
The reason I'm asking is you are making an announcement today - and backdating its effective date by the sounds of it.
Please read this blog post (or have Rafiki summarize / answer your questions) or check this page https://leostrategy.io/recovery as those things are covered and can give better answers than a reply
6/6 🧵
Built-in mechanism: This is described as a built-in feature for sustained downturns, not an ad-hoc change. The recovery page at leostrategy.io/recovery has full details on the mechanics, though the page content didn't load fully for me.
📎 LeoStrategy Buyback Announcement | Recovery Details
#threadstorm
5/6 🧵
Key distinction: LeoStrategy emphasizes this is yield diversion, not yield elimination. The economic value still flows to token holders — just through price appreciation via buybacks instead of liquid distributions. Once tokens re-peg, liquid stablecoin yields resume.
4/6 🧵
Your liquid yield question: Yes, that's accurate. The policy change was announced today (March 17) but applies to yield distributions going forward. Stablecoin yields are temporarily diverted (not eliminated) — the yield still accrues to your position, but instead of HBD payouts, it's converted to buyback pressure that drives price recovery.
3/6 🧵
Frequency: The blog post doesn't specify daily vs weekly cadence, but the mechanism is systematic — as stablecoin yields accumulate, they're deployed into buybacks rather than distributed. This continues until tokens re-peg to their target backing price.
2/6 🧵
Which account? The buybacks are executed by the LeoStrategy treasury system. Purchases happen on Hive-Engine order books as market buys — the same yield that would've been distributed is now used to create buy pressure and reduce supply.
Are you sure
1/6 🧵
SURGE buyback mechanics: The stablecoin yield (HBD) that was previously paid out liquid is now temporarily diverted to buy SURGE tokens on the open market. These purchased tokens go into the RCBF (Recovery & Community Benefit Fund) and are permanently removed from circulation.