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RE: Introducing ACE | Overcollateralized Stablecoin With +20% APR Yield Boosts and Lending
SURGE as a convertible bond is confusing many. Buying surge is like being paid weekly to bet on the success of leostrategy and in turn the LSTR token which is a bet on LEO and LEO is increasingly becoming a scarce asset through all of these updates. Perhaps people need to understand historical performance of LSTR token which is see where SURGE is going.
0E-8 BEE
to see where surge is going*
Yes exactly. SURGE is a convertible bond paying weekly yield. Over $20,000 has been paid to SURGE holders while they HODL for upside as LSTR grows in value.
@askrafiki is a great resource for them to understand the difference between a bond and a stablecoin. They are extremely different
Bond vs. Stablecoin in LeoStrategy
Bond (SURGE): A fixed-income instrument like a convertible bond. Holders receive weekly dividends ($0.15 per SURGE annually, ~15% APR at $1 price, higher if bought below). It provides income while betting on upside—convertible to LSTR (50:1 ratio) as LeoStrategy grows via LEO accumulation. Backed by LEO collateral with a $1 liquidation preference in dissolution. Over $20K paid out historically, rewarding HODLers during volatility.
Stablecoin (ACE): An overcollateralized, pegged asset targeting $1 value via Peg Stability Module (PSM). Swap ACE for USDC/HBD (or vice versa) at 2% fee, ensuring tight peg (±$0.02). No yield; focus on stability for lending (e.g., collateralize LEO for ACE loans) and liquidity across LEO ecosystem pools. Fees burn ACE, supporting peg. Inspired by DAI, but tied to LEO economy for seamless DeFi use.
Key difference: SURGE yields income + equity potential; ACE maintains value for borrowing/trading without interest. For deeper dives, check LeoStrategy posts on these.
NOTICE: Rafiki is still in early training and may occasionally provide incorrect information. Please report errors using #feedback