Why will LSTR go up in price? What makes it valuable for people to buy?
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There’s a lot of ground to cover in that question
The simplest summation would be to track the LEO Per Share of the fund
If the LEO Per Share (LPS) of outstanding LSTR shares increases, then the value of LSTR is increasing fundamentally in LEO Terms
Assuming you’re measuring value in terms of USD — Now if LEO increases in USD value, then LSTR increases exponentially more in USD value (same thing for the downside). LSTR should be an exponential volatility play (high beta) on LEO itself
So if LEO is $0.10 and LSTR’s LPS is 20 today (right now it’s about 21, and growing quickly) with 100,000 LSTR shares outstanding — then the fund’s value is 20 LEO * $0.10 = $2 per LSTR
If LSTR’s LPS increases to 30 by next month and LEO is $0.15, then 1 share of LSTR = 30 * $0.15 = $4.5
So while LEO increased by 50% in price, LSTR increased by 125%. The same would happen to the downside — so this effectively gives you a leveraged upside play on LEO
For a deep dive, I did a video: https://inleo.io/@khaleelkazi/leostrategy-deep-dive-eki?referral=khaleelkazi
Thank you for your detailed response. I will read it several times because I want to understand it well in order to make a YouTube video. It's a shame that I don't understand English well enough to watch yours.
What I see is that you have a good trading opportunity, with the volatility that LEO points out.