Libertum

Docs
Table of contents

$LBM Token Utility

$LBM Utility Overview

The Libertum ($LBM) token plays a crucial role in the Libertum ecosystem, driving sustainability, liquidity, and engagement across the platform. Below are the primary utilities of $LBM:

1. Buyback & Burn Mechanism

To ensure long-term value appreciation and reduce circulating supply, 5% of all income generated through the Libertum tokenization engine will be allocated to systematically buy back and burn $LBM tokens. This deflationary mechanism helps maintain scarcity and strengthens the token’s value proposition over time.

2. Staking Requirement for RWA Bonding

Libertum’s Real World Asset (RWA) DEX operates on a staking-based model to facilitate yield generation.

  • Holders of RWA tokens bonded within the Libertum RWA DEX must stake their tokens in order to earn yield.
  • A fixed staking fee of $10 (payable in $LBM) will be charged upon staking.
  • Unstaking is free, ensuring flexibility for users who wish to exit their positions.
  • This model encourages long-term participation and supports the utility and demand for $LBM.

3. Liquidity Provision on Uniswap

To enhance market depth and trading efficiency, $LBM will be used as a liquidity pair on Uniswap for RWA bonding tokens. This will:

  • Provide instant liquidity for RWA tokens, making them easily tradable.
  • Facilitate seamless entry and exit for investors within the Libertum ecosystem.
  • Strengthen $LBM’s role as a core asset within the decentralized finance (DeFi) framework.
  • By integrating $LBM into various aspects of the ecosystem, Libertum ensures continuous demand and robust token utility, reinforcing its position in the DeFi and real-world asset tokenization space.

Governance Rights 

  • The $LBM governance protocol, “CHOOSE” is scheduled for release in Jan 2025. This empowers token holders with the ability to participate in decision-making processes related to the ecosystem.

Summary:

$LBM Token Utility Overview 

The Libertum ($LBM) token is central to the ecosystem, driving sustainability, liquidity, and engagement. Here’s a breakdown of its key utilities:

1️⃣ Buyback & Burn 🔥

  • 5% of Libertum’s income will buy back & burn $LBM.
  • Deflationary mechanism reduces supply, increasing scarcity & value over time.

2️⃣ Staking for RWA Bonding 💎

  • Users must stake RWA tokens on the Libertum RWA DEX to earn yield.
  • A $10 staking fee (paid in $LBM) applies; unstaking is free for flexibility.
  • Encourages long-term holding & boosts $LBM demand.

3️⃣ Liquidity on Uniswap 💧

  • $LBM will be paired with RWA tokens for liquidity on Uniswap.
  • Ensures instant trading & seamless entry/exit for investors.
  • Strengthens $LBM’s role in DeFi & tokenized assets.

4️⃣ Governance Rights 🗳️

  • “CHOOSE” governance protocol launches in Jan 2025.
  • Holders will vote on key decisions, shaping the Libertum ecosystem.

With these utilities, $LBM powers the future of tokenized finance—creating value, liquidity, and governance for its holders.