Lighter Launches Its Native Cryptocurrency – LIT Token
On December 30, the Ethereum Layer 2 perpetual futures exchange, Lighter, officially introduced its native cryptocurrency, the Lighter Infrastructure Token (LIT). Garnering significant attention on its very first day, LIT experienced a 5% spike and a market capitalization of $705 million. At the time of writing, the token is trading at around $2.82, showing a 5.64% increase over 24 hours, according to CoinMarketCap.
Volatility on the First Day of Trading
Despite the initial enthusiasm, the LIT token experienced high volatility shortly after its launch. It began trading between $3.4 and $4.0 but quickly faced selling pressure as early airdrop recipients looked to monetize their holdings. The price saw a sharp 30% plunge before recovering to trade within the $2.70-$2.90 range.
Spot trading for the Lighter token (LIT) is set to go live once liquidity conditions are met, according to the company’s announcement on X. Coinbase has already confirmed its plans to list LIT for spot trading on their platform, highlighting its growing appeal within the crypto ecosystem. Additionally, FalconX, a premier digital asset brokerage, has also rolled out support for LIT’s OTC trading, pointing to strong institutional demand.
The Technology Behind Lighter
Founded in 2022 by Vladimir Novakovski, Lighter has emerged as a prominent player in on-chain derivatives trading. The platform boasts advanced zero-knowledge technology enabling it to process up to 10,000 orders per second with zero fees for retail traders. This impressive infrastructure has propelled Lighter into the upper ranks of decentralized exchanges by trading volume, trailing only Hyperliquid and Aster.
LIT Tokenomics and Utility
One of the standout features of Lighter’s tokenomics is its direct token distribution strategy. Approximately 25% of the total LIT token supply was airdropped to early platform users. This included converting 12.5 million reward points from the 2025 Season 1 and 2 campaigns into fully unlocked LIT tokens.
The maximum supply of LIT stands at 1 billion tokens, with 50% devoted to ecosystem development. This includes support for future user rewards, partnerships, and growth initiatives. The remaining 50% is allocated to the project’s team and investors, subject to a 1-year vesting period followed by a linear release over three years.
LIT tokens offer practical utility within the Lighter ecosystem. Holders can stake the tokens to earn rewards, participate in data validation, and share in protocol fees. Revenue generated by the platform will be redirected back to token holders, creating a sustainable economic model.
Backed by High-Profile Investors
Lighter is supported by $68 million in venture capital from leading firms like Andreessen Horowitz (a16z), Founders Fund, Ribbit Capital, and Haun Ventures. This funding has already positioned the project as a unicorn, with its valuation reaching $1.5 billion before the token launch.
Ready to Dive Into the LIT Token Revolution?
If you’re looking to explore this emerging crypto asset, platforms like Coinbase offer a simple and secure way to trade. With its unique features and growing institutional traction, LIT is shaping up to be one of the most exciting new projects in the blockchain space.
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