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RE: LeoThread 2025-10-19 14-31

in LeoFinanceyesterday

Fascinating question. The high-level answer is in the way we've designed RWAs as synthetic exposure to the underlying

Let's use NVIDIA stock as an example: NVDA pays 0% yield (no dividends). It is currently trading for $183.22 and the stock market is closed

LeoStrategy's RWA protocol could release something that we can just call "xNVDA" for the sake of discussion

xNVDA trades for $182.22 right now (-$1.00 cheaper than NVDA). It's Sunday and the markets are currently closed. Let's assume some negative news came out or generally, people trading xNVDA believe that NVDA will open lower when TradFi markets open tomorrow. This gives xNVDA a kind of "PreMarket trading vibe"

When the market opens, xNVDA traders will watch the NVDA price and trade xNVDA accordingly. Perhaps traders were right and the price of NVDA opens lower, then xNVDA will naturally gravitate to wherever NVDA is trading

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