The information about the Leverj Gluon (L2) token is compiled from various online sources, including posts on X and websites outlining its purpose and features. Leverj Gluon (L2) is an ERC-20 token launched on the Ethereum blockchain, serving as the primary utility token for the Leverj ecosystem, a decentralized exchange (DEX) focused on derivatives trading. Its smart contract address on Ethereum is 0xbbff34e47e559ef680067a6b1c980639eeb64d24, and it replaced the original LEV token through a 1-to-1 migration process, with a total supply of approximately 838 million tokens, though only a portion is in circulation due to staking and ecosystem reserves. The token is designed to power a high-speed, secure, and scalable trading platform that leverages Gluon, a custom-built Layer-2 sidechain on Ethereum, to address issues like high transaction fees and slow processing times typical of the Ethereum mainnet.

The Leverj platform aims to decentralize the most desirable aspects of derivatives trading by integrating them into a cryptocurrency framework, eliminating friction points common in centralized exchanges. L2 tokens facilitate this by enabling several key functions within the ecosystem. Users can stake L2 to earn a share of the trading fees generated on the exchange, with rewards distributed monthly based on the proportion of staked tokens relative to the total in the staking contract. The platform supports both spot and futures trading, offering up to 100x leverage on perpetual futures contracts for assets like ETH, BTC, and DeFi tokens, all while maintaining a non-custodial, self-custodial model where users retain control of their funds. Gluon enhances this by providing low-cost, fast, and transparent transactions, with a fallback mechanism that allows users to recover funds to the Ethereum main chain if the sidechain fails or is abandoned.

Leverj’s design emphasizes privacy, security, and user experience, featuring a usable interface, decentralized identity management, and provable audit capabilities embedded in the blockchain. The L2 token also plays a role in governance, with plans to expand ecosystem features that could attract larger players to the cryptocurrency space. Beyond staking rewards, L2 is used to incentivize liquidity through trading rewards, similar to liquidity mining, where weekly token distributions are tied to trading volume. The platform’s Gluon technology is positioned as a scalable solution not just for Leverj but potentially for other DeFi projects looking to build on Ethereum, broadening its utility. Online discussions highlight Leverj’s ambition to compete with centralized derivatives platforms like FTX or Binance Futures, but in a decentralized, trustless manner, with historical posts on X noting its launch of high-speed spot trading in 2019 and futures trading in August 2020. This reflects L2’s foundational role in a system aiming to bridge traditional derivatives trading with DeFi innovation.