Appreciate the thoughtful feedback 🙏
The key difference between SURGE and a Ponzi is how the yield and long-term engine are structured.
The 6-month runway isn’t used to “pay old investors with new ones” — it’s an on-chain buffer that ensures stability while real profit centers (market making, LeoDex USDC fees, bridge inflows, and LSTR growth) scale up.
The LeoStrategy fund currently holds ~3 million LEO (≈ $420K at $0.14/LEO) and accumulates more daily. Even if we never bought another token, a 50% annual appreciation in LEO’s price would add ~$210K USD to the balance sheet — enough to cover nearly 3 years of SURGE dividend obligations ($500K × $0.15 = $75K/year). That’s before counting any inflows.
Meanwhile, market making alone (currently only on LEO pairs) already earns about $100 USDC per day — ≈ $36.5K per year — covering nearly half of all SURGE dividends by itself. When LSTR + SURGE pairs go live cross-chain, that number should more than double.
Beyond that, several profit centers already exist or are being deployed:
- @lstr.voter – an active, on-chain yield engine generating daily income for the fund.
- sLEO Lending (coming soon) – a new profit center allowing collateralized lending against staked LEO, adding a sustainable revenue stream without selling tokens.
- Dozens of upcoming products – all designed to use LeoStrategy’s balance sheet to generate yield without levering collateral — compounding the fund’s cash flow base.
Long-term, the thesis mirrors MicroStrategy’s: capture LEO’s volatility and long-term appreciation (targeting ~50%+ annual growth) while providing stable, yield-based exposure through SURGE.
Where we go even beyond microstrategy is with products/services and tools that generate hard inflows (cash flow) to the fund with minimal overhead