Part 2/6:
The existing economic framework for Leo does not change its basic mechanics; however, it modifies how rewards are funded. Presently, the LEO token's inflation model has been the primary driver of economic rewards. Under the new system, the rewards for users will no longer stem from inflation but from a buyer's model through strategically executed buybacks.
This new deflationary model entails that as rewards will be funded through buybacks, new tokens will cease to be created daily. Instead, the revenue generated from bridging transactions will be used to acquire LEO tokens, which will then be either distributed to users or held by the protocol for its own use.