Initial Exchange Offering of LEO Tokens
For Use on iFinex Trading Platforms,
Products, and Services
05.08.2019
NOTE:
TOKENS WILL NOT BE OFFERED OR SOLD IN THE UNITED STATES OR TO U.S. PERSONSAND OTHER PROHIBITED PERSONS. SEE IMPORTANT CONSIDERATIONS ON PAGE 1 OF
THIS WHITE PAPER.
TERMS OF PURCHASE ARE SET FORTH IN THE TOKEN PURCHASE AGREEMENT. THISWHITE PAPER IS FOR INFORMATIONAL PURPOSES ONLY AND IS QUALIFIED IN ITSENTIRETY BY THE TERMS INCLUDED IN THE TOKEN PURCHASE AGREEMENT.

Important Note:
The information in this white paper has changed. The information contained in this white paper spoke
only as of the date of the white paper. There is no obligation or undertaking to update or revise, or to
publicly announce any update or revision to, any of the information contained herein. This information
should not be relied upon for any purpose.
This white paper contains forward-looking statements that are not guarantees of future performance.
Actual results and activities since the date of the white paper have differed materially in certain cases.
Where actual results or activities have been consistent, they are not intended to, and may not, bepredictive of results, activities, or developments following the date of viewing.
This white paper is not an offer to sell, and is not soliciting an offer to buy, the UNUS SED LEO tokens
referenced herein. Nothing in this white paper shall be deemed to constitute a prospectus of any sort or asolicitation for investment. The information in this white paper does not constitute a recommendation by
any person to purchase UNUS SED LEO tokens or any other cryptographic token or currency.

IMPORTANT CONSIDERATIONSIMPORTANT: This document is confidential and by accepting delivery of this document, youagree to keep confidential all information contained herein. The document is a marketing
document and is not intended to be legally binding. Nothing in this document shall be deemed
to constitute a prospectus of any sort or a solicitation for investment, nor does it in any way
pertain to an offering or a solicitation of an offer to buy any securities in any jurisdiction. The
information in this document does not constitute a recommendation by any person topurchase LEO tokens or any other cryptographic token or currency and neither the Issuer(Unus Sed Leo Limited) nor iFinex Inc. has authorized any person to make any such
recommendation.
Restricted Persons. The sale of LEO tokens is not directed at, and each purchaser of LEO
tokens will be required to represent, among other things, that they are not: (a) a citizen,
resident (tax or otherwise) of, a person located or domiciled in, or any entity organized in or
owned by certain persons in (i) the United States (including any U.S. Person pursuant to the
U.S. Securities Act of 1933 (as amended)), (ii) Canada, (iii) any jurisdiction listed by the
Financial Action Task Force as high-risk or with strategic deficiencies; (iv) Cuba, Democratic
People’s Republic of Korea (North Korea), Iran, Pakistan, Syria, the Government of Venezuela
or Crimea or (v) any jurisdiction for or in which the sale of LEO tokens, or any offer orsolicitation in respect of LEO tokens, would require registration or licensing not obtained by
the Issuer or otherwise would be unlawful or which restricts or licenses the activities of thekind that can be accessed or used with LEO tokens; or (b) a person under the age of 18 years(any such person falling under (a) and (b) a “Restricted Person”). In addition, each purchaser of
LEO tokens will be required to represent that such purchaser is outside of the United States at
the time of agreeing to purchase the tokens, was outside of the United States at the time any
offers to sell or any offers to buy the token were reviewed, and will be outside of the UnitedStates at any time that such purchaser performs its obligations under the Token Purchase
Agreement. Consequently, you must make your own assessment as to your ability topurchase LEO tokens pursuant to laws applicable to you and to confirm that you are not a
Restricted Person. No registration or other action has been or will be taken in any jurisdictionthat would, or is intended to, permit the sale of LEO tokens in any country or jurisdiction whereregistration or other action for that purpose is required. None of the Issuer or iFinex or any of
their respective agents or representatives, is making any representation to any potential
purchase of LEO tokens as to the legality of a purchase of LEO tokens by such purchaser
under the laws applicable to such purchaser.
Purchaser Sophistication. LEO tokens are speculative and involve a high degree of risk anduncertainty The sale of LEO tokens is aimed solely at persons who have sufficient knowledge
and understanding of blockchain and cryptographic tokens and other digital assets, smart
contracts, storage mechanisms (such as digital or token wallets) blockchain-based softwaresystems and blockchain or distributed ledger technology, to be able to evaluate the risks andmerits of a purchase of LEO tokens and are able to bear the risks thereof, including loss of allamounts paid and loss of LEO tokens purchased. Potential purchasers must further maketheir own independent assessment, after making such investigations as they consider
necessary, of the merits of, and their suitability for, purchasing any LEO tokens and should

consult their accounting, legal and tax representatives and advisers in order to evaluate theeconomic, legal and tax consequences of purchasing LEO tokens.
Forward-Looking Statements. Certain statements contained in this document may constituteforward-looking statements or speak to future events or plans. Such forward-looking
statements or information involve known and unknown risks and uncertainties, which may
cause actual events to differ materially. No reliance should be placed on any suchforward-looking statements or information.
Private Presentation. This White Paper is being delivered only to selected persons, and not
through any general solicitation or general advertising. You may not, nor are you authorised to,deliver or disclose the contents of this document to any other person. No person is authorized
to provide any information or to make any representation not contained in this White Paper orin the Token Purchase Agreement. No person or entity other than the Issuer is authorized tosell, resell, or distribute the LEO tokens on behalf of the Issuer, iFinex, or any of their affiliates.
Purchasers of LEO tokens, or any interest therein, from any person or entity other than theIssuer are not entitled to rely upon this White Paper or the Token Purchase Agreement.
Risk Factors. Purchasing the LEO tokens entails risks and purchasers could lose their entire
purchase amount. Certain risks are described in the Token Purchase Agreement.

Table of Contents
Abstract
Introduction
Why iFinex
Ethos - Unus Sed Leo
Strong foundations for a sustainable future
Our Collective
Independent Infrastructure
An Unrivalled Portfolio
Current Projects
Bitfinex
Ethfinex Trustless
NectarForthcoming Projects
Bitfinex Derivatives
eosfinex
iFinex IEO Platform
A Licensed & Regulated Security Token Exchange
Dazaar
Betfinex
Digital Assets on Lightning Network
μFinexA history of doing right by our customers
The Ifinex Initial Exchange Offering
LEO Tokenomics
How to Participate
Conclusion
Contact

AbstractiFinex Inc. (iFinex), a privately-held financial technology company incorporated in the British
Virgin Islands, operates virtual currency trading platforms under the business name Bitfinex,
and provides numerous other cryptocurrency and cryptoasset-related products and services.
This whitepaper introduces the initial offering of a new utility token, LEO, for use on Bitfinex
and other iFinex trading platforms. LEO has been created with the iFinex and crypto
community at heart and in mind. LEO presents a sizeable opportunity for existing iFinex
users and those who wish to use iFinex’s platforms and services. A special purpose
subsidiary of iFinex intends to sell up to USDt 1 billion worth of LEO tokens.
This document will outline in detail why we proudly invite friends of iFinex who meet thequalification requirements included in the Token Purchase Agreement to purchase LEO
tokens, what this entails, and how it is a natural extension of our community ethos.

Introduction
iFinex started its operations in 2012, initially operating under the Bitfinex brand, making it
one of the longest-standing exchanges in the industry. Since then iFinex, through its trading
platforms, has become one of the best-known and recognized companies in thecryptocurrency space with a community of passionate entrepreneurs, idealists andtechnologists that have together created one of the best growth stories in our industry.
Our guiding principle has always been innovation for progress. We are known for building
industry first products and tools that accelerate the blockchain promise of freedom andscalability set out in the original Bitcoin WhitePaper, “Bitcoin: A Peer-to-Peer Electronic Cash
System,” released in 2008.
We also believe the best innovation and biggest progress comes from opening our doors to
the community, which is why we are dedicated to education and open-source development
within the cryptocurrency space.
Developing for innovation is a critical element of progress within cryptocurrencies, but
driving adoption is equally important. We maintain that the best chance of increasing
adoption of cryptocurrency is fiat currency cash flow​—​increasing the speed and ease bywhich fiat currencies can be exchanged for cryptocurrency in a legally-compliant manner.
We do not dispute that the end goal of cryptocurrencies is to displace the place of fiat in ourlives, but we believe that achieving these goals will only be possible after the ecosystem hasdeveloped and matured. Moreover, investment from outside the industry needs to reach themany vital projects that are working hard to improve and scale the technology.
For this reason, Bitfinex fights to defend the use of an independent fiat gateway. We arehumbled and incredibly grateful that so many of our customers and community members
share our approach and ethos and have actively supported us through times of adversity.
Here we share an opportunity to stand together, united in our vision for the future of crypto.

Why iFinex
Ethos - Unus Sed Leo
Our company motto, Unus Sed Leo, is a Latin citation from Aesop’s fable, “The Sow and theLioness.” The fable (in short) details how a sow brags about how many children she has andthen asks the lioness if she only had one child. The lioness replies “One, but a lion.”
This ethos of quality over quantity and individual strength extends across several elementsof iFinex, from being a privately-owned company to our recruitment and operational
infrastructure. It is also an ideal that binds together persons linked to our company, fromteam members to shareholders, from communities to individual supporters.

Strong foundations for a sustainable future
Our ethos of independence and quality extends into the very fabric of our company, from ourcollectively individual team to our operational infrastructure.

Our Collective
The team has grown organically over the past seven years to a headcount of just over 100
people as of May 1, 2019. While we have been fortunate to attract hundreds of inboundapplications per month—often without active roles advertised​—​we do not waver from ourpolicy of quality over quantity. We only select those candidates of the highest calibre thatshare our passion and vision to lead the financial revolution.
Whilst the industry in which we operate is renowned for extreme and often unpredictablefluctuations, our core infrastructure remains the same. The combination of a highly
motivated and hard-working team, with carefully-designed internal processes, has been the
backbone of our success over the years. It has enabled us to comfortably and effectively
adapt to differing levels of market demands despite housing a team a fraction of the size ofsome competitors.

Our highly efficient structure has also meant that, during times of low market activity, we
have not had to reduce personnel count. The best innovation requires the best talent, andreducing numbers would have stifled the development of industry leading products that keep
us consistently at the forefront.
Much like the decentralised promise of blockchain, we strongly believe in the power of a
distributed team. Operating remotely, scattered across the globe, we are stronger throughour diversity. Having a hive of different minds from different cultures that can both challenge
and collaborate with each other is the key to creating world class innovation.
We are as distributed as we are diverse, but we are all united under the same vision. We work
together towards the same goal, we help and look out for each other, and we celebrate our
success together without ego. We believe in what we do and grow together, never more sothan in the face of adversity.

The Development Team
It often surprises people to learn that the iFinex development team comprises a mere 25
developers, as of May 1, 2019 (from 5 in 2016).
It is without exaggeration that we believe we have the most talented team in the world. This
small collective is responsible for the sophisticated tools loved and used by our customers
on a daily basis.
Encouraging a culture of experimentation and learning has led to product development fromscratch that would otherwise have necessitated outsourcing, a process we avoid in order toensure the highest quality of products and services. A good example of this is theforthcoming Bitfinex Derivatives platform, which has been completely designed anddeveloped by the Bitfinex team. By keeping the development in house, we were able tomatch the unrivaled standards of the rest of the platform, creating a customisable, scalable,
and reliable solution at a fraction of the cost of outsourcing.

Independent InfrastructureContinuing our ethos of strength through independence, we have drastically limited the useof third party solutions, operating largely through self-built infrastructure. In January 2019,
we migrated from Amazon Web Services onto a dedicated, self designed datacenter withpremium hardware that is best suited to high volume trading. This is of fundamental
importance for two key reasons:●Control​—​Having control of the core infrastructure means we are able to design it tobest suit the needs of our customers. It also keeps us in control of future hardware

●and software upgrades, so they can take place in a safe and efficient manner atconvenient times according to market movements.
Trust​—​Our dedicated servers are built to high safety standards and mean that ourcustomers need to trust only us with their data, subject to applicable laws andstandards. Including third parties, or storing data via the cloud, necessitates
customers trusting unknown entities with their privacy.

We have also designed and built independent infrastructure to help our team provide thebest service to our customers. Examples include:● A new and more efficient KYC/AML/CTF/sanctions process, built as a standalone
platform that can be reused across multiple projects.
● A streamlined ticketing/customer support center. Here we took an existing
open-source solution and customized it according to our extensive customer inquiry
experience while ensuring that we gave back to the original open-source repository
with new code submissions.
● Advanced reporting tools that are open-source and have markedly more features
available than comparable products.

An Unrivalled Portfolio
iFinex has proven itself as a home for innovation, with a diverse portfolio of products that
adopt many different aspects of blockchain technology without compromising on quality.
Below is a summary of iFinex’s significant markets and products, as well as a brief look at
projects in our pipeline:

Current Projects
Bitfinex
Founded in 2012, Bitfinex is a cryptocurrency trading platform providing advanced services for
digital currency traders and liquidity providers. Bitfinex is one of the world’s most advanced
cryptocurrency trading platforms, and one of the largest exchanges by volume for trading
bitcoin against the U.S. dollar. For the 24 months ended March 31, 2019, Bitfinex had the largest
share of such trading as reported by data.bitcoinity.org.

Ethfinex Trustless
Ethfinex Trustless was the first product developed and launched using on-chain settlement
and enabling self-custodial trading, whilst at the same time directly linking into the Bitfinexorder-books. With full control of assets, no deposits and withdrawals, and a directconnection to the Bitfinex order books, it has become one of the largest exchanges making
settlements on the Ethereum blockchain.

Nectar
Nectar (NEC) was one of the first examples of an exchange native token. It was created aspart of Ethfinex’s path to decentralisation, providing those that contribute to the platform
with a proportional stake in the long-term success of the exchange.

Forthcoming Projects
Bitfinex Derivatives
From its expected June 2019 launch, qualified Bitfinex account holders will be able to trade a
new hedging product through a derivatives wallet. The product will have USDt-based
collateral (unavailable in the rest of the market), up to 100x leverage and isolated margin for
individualized risk level.

eosfinex
eosfinex is the first exchange project built on EOS.IO software, and also the industry’s first fully
on-chain, fully transparent and scalable exchange ecosystem. It is currently available in beta
with the full exchange due to launch in June 2019.

iFinex IEO Platform
The iFinex IEO platform will allow qualified persons with a Bitfinex or Ethfinex account tocontribute to pre-vetted token sales directly from her personal exchange wallet. Projects thatsuccessfully raise capital on this platform are subsequently listed on the two exchanges, as
permitted by applicable law, and token sale participants receive their subscribed tokens intheir exchange wallets. The first token sale is scheduled for June 2019.

A Licensed & Regulated Security Token ExchangeThis venture will introduce an exchange platform combining the existing securities market withthe distributed ledger technology ecosystem, under the regulations emerging from some of theworld’s most important financial hubs. Through the digitization of securities, the exchange will
be designed to bring liquidity and transferability to assets. It will allow wider investor audiences
to partake in previously inaccessible opportunities and brings wholly new assets to market. This
exchange will only be available to customers permitted under applicable regulations and will not
be available to U.S. customers.

DazaarDazaar is conceived as the next generation marketplace, enabling anyone to share andretrieve large data sets on a decentralised, open-source, free, and encrypted network, withoutborders. This not-for-profit venture will be open to anyone and easy to extend. It is scheduled
to launch within the coming months.

Betfinex
Betfinex will use Bitfinex technology to build what may be the most secure, performant,
cost-effective, and user-friendly and legally-compliant betting exchange in the world. It will
combine state-of-the-art betting APIs with high performance physical hardware to set new
standards in betting exchange connectivity. Offering superior connectivity in tandem withindustry-leading matching technology will, for the first time in online betting, provide customers
with an experience comparable to that of a low latency FX exchange.

Digital Assets on Lightning Network
Lightning is a decentralized network using smart contract functionality in the blockchain toenable instant payments across a network of participants. iFinex has joined with a number ofother companies and individuals to help develop and finalize the support for digital assets on
Lightning Network. Ideally, digital assets developed and introduced by iFinex, including the LEO
token, will be among the first digital assets launched on the Lighting Network.

μFinex
μFinex will be a modular and fully open-source framework of tools, libraries, and protocols
that will be available for download and use. It will be a pure P2P ecosystem of instruments
designed to be used for exchange and, eventually, for derivatives products. Our objective isthat μFinex tools, libraries and protocols will be extremely lightweight and capable to run on
any hardware (from Raspberry PIs to mainframes). This project is the ultimate form andvision for the iFinex ecosystem.
As with any business plan, the foregoing projects are subject to change without notice andmay not be implemented as described or at all. Further information about current projects ofiFinex entities can be found at ​bitfinex.com/rm-2019-05.pdf . Neither this information nor
any other information available at w
​ ww.bitfinex.com​ is or forms a part of this white paper.

Significant Commercial SuccessiFinex has been a highly profitable entity. It has proven its business acumen through enviable
commercial results and has remained profitable irrespective of market fluctuations.
The following tables set forth selected consolidated financial data of iFinex for the years ended
December 31, 2017 and 2018. Financial data are unaudited, presented in U.S. dollars, and havebeen derived from our accounting records, but have not been prepared in accordance with thegenerally accepted accounting principles of any jurisdiction. Instead, information is presented inaccordance with principles, and reflects all adjustments necessary in the view of iFinex, for thefair statement of results of operations for these periods. Historical results are not necessarily
indicative of our results in any future period. Furthermore, these consolidated results are notindicative of the financial position of the LEO token issuer, which is a newly formed entity withlimited assets and no business operations.

2017

2018

Gross Profit1

333.5M

418.2M

Expenses

6.8M

14M

Net Profit

326M

404M

Team Size

35-60

60-90

Dividends to Shareholders2245.959M

261.669M

A history of doing right by our customers
Our ‘Unus sed leo’ ethos means we stand and move boldly and bravely, doing everything in our
power to do right by our customers and the community at large in the face of adversity.
Bitfinex HackOn the 2nd August 2016, Bitfinex suffered a hack, depleting the exchange of 119,756 BTC. To
call this a huge loss is a gross understatement, and many exchanges would​—​and in similar
circumstances did​—​throw in the towel in the face of seemingly insurmountable odds. Instead,the entire Bitfinex team remained united and worked together to find a solution to both save theplatform and make everyone whole in under a year.
Bitfinex took a unique approach, allocating the losses across all accounts and crediting
specially-designed BFX tokens to customers at a ratio of 1 BFX to 1 dollar lost. Bitfinex
honoured its commitment to repay the losses. Within eight months of the security breach, all
BFX token holders had their tokens redeemed at 100 cents on the dollar, or had exchanged theirtokens, directly or indirectly, for shares of the capital stock of iFinex Inc. All BFX tokens wereredeemed and destroyed through this process.
Additionally, Bitfinex created a tradable Recovery Right Token (RRT) for BFX holders thatconverted BFX tokens into shares of iFinex. The benefit to RRT holders was that, in the event of
any retrieval of the stolen property, and after any outstanding or unconverted BFX token holders

1

Includes revenues consolidated in accordance with iFinex accounting principles, including revenues
derived from the operation of Ethfinex, which will be excluded from the calculation of gross revenues
for iFinex’s repurchase commitment.
2
Dividends distributed refers to the quarters in which revenues generating dividends were accrued.
LEO tokens are not capital shares or other interests in iFinex and are not entitled to any dividends.

had been reimbursed, recovered funds would be distributed to RRT holders, at up to 1 dollar per
RRT.
Bitfinex continues to pursue multiple strategies for recovery. It is collaborating with law
enforcement to track and seize the stolen Bitcoins as soon as they reach any exchange orbusiness. This approach bore some fruit in February 2019,3 when Bitfinex was able to restore
almost 28 BTC, thanks to ongoing collaboration with the U.S. government. In addition, thecompany is working with industry leaders to create a procedure to offer the hacker the chance
to safely and privately refund the majority of the stolen funds while keeping a percentage ofthem as reward for collaborating in finally resolving this issue. There can be no assurance thatthese or any other strategies will be successful.
Crypto CapitalIn early 2015, Bitfinex established a relationship with a payment processor known as Crypto
Capital. Bitfinex strengthened its relationship with Crypto Capital in the immediate aftermath ofa service disruption initiated by a U.S. correspondent bank. In late summer 2018, Crypto Capital
represented to Bitfinex that funds in its custody had been the subject of a partial government
seizure, although they were expected to be released shortly. By the end of 2018, Bitfinex grew
concerned that Crypto Capital might fail to return funds held there, and began negotiating acredit facility for a secured, revolving line of credit on commercially-reasonable terms.
BitFinex is actively working in various jurisdictions around the world to expedite the return ofthese funds, and is confident in the future success of these efforts, although there is nocertainty that BitFinex will be able to recover these funds. Nevertheless, the credit facility
provides a stop-gap measure in order for Bitfinex to cover operational shortfalls.

The Ifinex Initial Exchange Offering
The summary below describes the principal terms of the LEO tokens. Certain of the terms
and conditions described below are subject to important limitations and exceptions.
Prospective purchasers should review the entire Token Purchase Agreement, available fromthe Issuer, including the risk factors stated therein. The summary below is qualified in its
entirety by reference to the actual text of the Token Purchase Agreement. Capitalized terms
not defined herein shall have the meaning ascribed to such term in the Token Purchase
Agreement.
ISSUER

3

Unus Sed Leo Limited, a British Virgin Islands company
limited by shares, formed for the purpose of issuing LEO
tokens.

See Bitfinex recovers part of the stolen BTC
https://medium.com/bitfinex/bitcoins-returned-to-bitfinex-by-u-s-government-51fe84e8bb12​. The
linked information is not a part of this white paper.

TOKEN

LEO, a utility token at the heart of the iFinex ecosystem.

PURCHASER ELIGIBILITY

As set forth in the Token Purchase Agreement.

PURCHASE PRICE

1 USDt per Token. The Issuer may accept other forms ofconsideration in its discretion.

LISTING

Bitfinex will open a LEO:USDt market for peer-to-peer
trading following the conclusion of the sale of tokens.

MAXIMUMSALE

AMOUNT

USE OF PROCEEDS

OF

Issuer may sell a maximum of USDt 1 billion worth of
LEO tokens.
Proceeds may be used for working capital and generalbusiness

purposes, including capital expenditures,operating expenses, repayment of indebtedness andother recapitalization activities.

SALES DOCUMENTATION

Purchase and sale of the LEO tokens shall be on theterms and conditions set forth in a Token Purchase
Agreement.

TOKEN DISTRIBUTION

Up to 1 billion Tokens will be issued by the Issuer. The
Tokens will be sold in a private offering outside of theUnited States without the means of general solicitationor general advertising. Any Tokens that remain issued
may be sold in the manner and times determined by theIssuer in its sole discretion.

LOCK-UP

None.

COMMERCIAL USES

REPURCHASE AND
COMMITMENTS

Reductions of fees and other discounts on BitFinex and
EthFinex, as described more fully herein, as well as
similar fee reductions and/or other features and benefits
for future iFinex trading platforms, products, andservices.

BURN

●

●

●

TAX CONSEQUENCES

On a monthly basis, iFinex and its affiliates will
buy back LEO from the market equal to aminimum of 27% of the consolidated grossrevenues of iFinex (exclusive of Ethfinex) fromthe previous month, until no tokens are incommercial circulation. Repurchases will bemade at then-prevailing market rates. LEO tokens
used to pay fees may also be used to satisfy thisrepurchase commitment.
In addition to the above, an amount equal to atleast 95% of recovered net funds from Crypto
Capital (described more fully herein) will be used
to repurchase and burn outstanding LEO tokens
within 18 months from the date of recovery.
Further, an amount equal to at least 80% ofrecovered net funds from the BitFinex hack will
be used to repurchase and burn outstanding LEO
tokens within 18 months from the date ofrecovery.

Prospective purchasers should consult their tax advisers
as to the tax consequences of participating in the
distribution and owning, using, and transacting in LEO
tokens.

LEO Tokenomics
Burning
On a monthly basis iFinex and its affiliates will buy back an amount of LEO from the market
equal to a minimum of 27% of the consolidated gross revenues of iFinex from the previous
month, in perpetuity until no tokens are in commercial circulation. Repurchases will be made atthen-prevailing market rates. LEO tokens used to pay fees may also be burned. This excludes
Ethfinex and its sub-products, as Ethfinex launched a native platform token (NEC) in 2017, towhich part of its revenues are already allocated.
In addition to the standard burning periods, based on company revenues, iFinex will have thefollowing additional burning events:
Recovered funds from Crypto Capital● iFinex and its subsidiaries will use an amount equal to 95% of the recovered net funds
from Crypto Capital (described above) to redeem and burn a corresponding amount ofoutstanding LEO tokens. Net recoveries will be calculated by iFinex in good faith and will
be net of legal costs, operational and recovery costs, governmental charges, andreserves for contingent costs.
● iFinex and its subsidiaries may make repurchases in multiple transactions over time inits judgment so long as it completes the repurchases within 18 months from the day of
the recovery. For example, if iFinex recovers $250m by October 2019, the deadline forthe relative repurchase / burning commitment (of $250m LEO equivalent) will be April
2021. It is expected that smaller recovered amounts would be utilized for repurchases
within a shorter time frame but that larger recoveries may be utilized throughout the
18-month period to offer protection from sudden market spikes and will result in a
Volume Weight Average Price (VWAP).
Recovered Bitcoins From the Bitfinex Hack
● iFinex and its subsidiaries will use an amount equal to at least 80% of the recovered net
funds from the Bitfinex hack (described above) to repurchase and burn outstanding LEO
tokens. Net recoveries will be calculated by iFinex in good faith and will be net of RRTredemptions, legal costs, operational and recovery costs, governmental charges, andreserves for contingent costs.
● iFinex and its subsidiaries may complete the repurchase/burning commitment (of suchamount) within 18 months from the date of the recovery. This period offers protection
from sudden market spikes and will result in a VWAP. For example, a partial recovery of
60,000 BTC at the current market price (1 BTC = approximately $5,000), would bring in$300m. After deducting $30m (for the current outstanding RRTs), $270m would remain.
Assuming that $270m was recovered net funds, iFinex would use at least 80% (i.e., atleast $216m) to burn LEO tokens.

Utility
LEO will be the utility token at the heart of the iFinex ecosystem. Token holders will experience
benefits across the entire portfolio and are expected to obtain benefits from future projects,
products, and services, whether or not detailed within this white paper.

Initial benefits4 available to LEO token holders include:
BITFINEX TAKER FEE REDUCTION○ All levels of LEO holders’ taker fees will be reduced by 15%5 over all
crypto-to-crypto pairs (including crypto-to-stablecoin).
○ Taker fees will be reduced by an additional 10% over all crypto-to-crypto
pairs (including crypto-to-stablecoin) for traders with on average > 5,000
USDt in LEO tokens in their account during the previous month (calculatedusing every day in the month).
○ LEO holding traders c​ an also reduce taker fees by up to 6bps (=0.06%) on
all trading pairs (including crypto-to-fiat), to a floor of the minimum takerfee of 2.5bps. For LEO holdings valued =< 1m USDt (on average) in theprevious month, taker fees are reduced by 0.02 bps per 10,000 USDt
increment. For LEO holdings valued above 1m USDt (on average) in theprevious month, taker fees are reduced by 0.01bps per 50,000 USDt
increment. The maximum taker fee reduction is thus reached at holdingof 21m USDt in LEO (on average) in the previous month. Any reduction
resulting in a taker fee below the 2.5bps minimum will not be applied.
(Monthly averages are calculated using every day in the month.)○○4

Up to 25% of trading fees will be deducted first in LEO, if the trader holds
LEO tokens.
Traders can buy any fee tier in LEO for 30 days, for an amount of LEO
equal to 75% of the delta between the average fees that would be
generated in one month by that tier and the current trader tier, in USDt
equivalent. Once 30 days has passed, the normal fee schedule will beapplied.

iFinex reserves the right to implement all described fee reductions and discounts within 3 months ofthe closing of the LEO token sale.
5
Reduction applies to all Bitfinex and Ethfinex fees.

○Fee reductions are subject to change in Bitfinex’s discretion due tochanges in fee schedules or otherwise.

BITFINEX LENDING FEE REDUCTION○ P2P financing lenders will get a fee discount equal to 0.05% for every
10,000 USDt in LEO tokens held (on average) in the trader’s accountduring the previous month (calculated using every day in the month).
○ The maximum discount is capped at 5%.
○ Fee reductions are subject to change in Bitfinex’s discretion due tochanges in fee schedules or otherwise.
BITFINEX CRYPTO AND FIAT WITHDRAWALS AND DEPOSITS FEE DISCOUNT● LEO holders will receive up to a 25% crypto withdrawal and deposit fee discount.
● Holders of > 50m USDt worth of LEO tokens (on average) in the previous month(calculated using every day in the month) are able to withdraw 2m USD fiat permonth without additional fees. Also, the additional fee will be reduced to 2%(instead of 3%) on any withdrawal above 2m USD fiat monthly.
● Fee reductions are subject to change in Bitfinex’s discretion due to changes infee schedules or otherwise.
BITFINEX DERIVATIVES TAKER FEE REDUCTION (FORTHCOMING)● Taker fees will be reduced by 0.01 bps for every 10,000 USDt in LEO tokens held
(on average) in the trader’s account during the previous month (calculated using
every day in the month). The maximum discount is capped at 2bps.
● Fee reductions are subject to change in Bitfinex’s discretion due to changes infee schedules or otherwise.
OTHER IFINEX TRADING PLATFORMS, PRODUCTS, AND SERVICES● eosfinex will make similar discounts available for holders of LEO tokens.
● Future iFinex trading platforms, products, and services expect to make similar
fee reductions and/or other features and benefits available to LEO token holders.

How to Participate
By receiving this whitepaper you are part of an exclusive cohort personally invited toparticipate in a private token sale.
The private token sale will take place until ​2019-05-11​. If fewer than 1 billion USDt tokens
are sold by private token sale, the Issuer may thereafter sell remaining tokens at times and ina manner it deems appropriate in its sole discretion, consistent with applicable law.
To register your interest please contact ​leo@bitfinex.com​.

Conclusion
We hope this whitepaper has done justice to the exciting opportunity ahead of us.
We are truly humbled by the ongoing support from the community and the strength of belief
in iFinex. We remain united and strong and, through our first IEO, we welcome our friends tojoin us as we grow.
As ever, we promise to continue to drive innovation for progress, relentlessly pursue quality,
and, above all else, do right by the community.
Unus Sed Leo.

Contact
leo@bitfinex.com