Lighter Launches LIT Token Amid Market Speculation

• LIT splits 50/50 between ecosystem and team/investors, with airdropped points worth 25% of total token value.

• Analysts suggest realistic valuation $3B–$3.5B, citing competitor benchmarks and potential user attrition.

• Confusion over launch dates sparks short-term volatility as insiders face losses ahead of MEXC listing Jan 7.

Lighter has officially announced its new Lighter Infrastructure Token (LIT), sparking significant attention across the crypto ecosystem. The token aims to support the company’s vision of creating next-generation financial infrastructure.

According to Lighter, LIT will serve as a core mechanism to align incentives between users, developers, investors, and strategic partners, including Robinhood and Coinbase.

Additionally, the token will allow stakeholders to benefit directly from revenue generated by Lighter’s decentralized exchange (DEX) and upcoming products. The company plans to allocate earnings between growth initiatives and token buybacks depending on market conditions, targeting long-term value creation for holders.

Besides its revenue-sharing structure, LIT’s tokenomics reveal a 50-50 split between ecosystem distribution and team or investor allocation. Lighter also noted that points earned in Seasons 1 and 2 during 2025, totaling 12.5 million, will be airdropped immediately.

This airdrop represents 25% of the fully diluted token value. The remaining ecosystem allocation will fund future programs and partnerships, while team and investor tokens will follow a one-year unlock and three-year linear vesting schedule. Moreover, LIT holders gain access to financial tools that enhance capital efficiency, risk-adjusted returns, and on-chain transaction transparency.

Market Reactions and Valuation Debate

However, speculation around LIT’s market value has caused debate. Analyst Hexdrunker challenged a $3 billion valuation, explaining, “I don’t like speculation around Lighter, so I decided to actually run the project math.”

Using data from six competitors, including Hyperliquid and dYdX, he calculated a fair FDV benchmark of $4.8 billion. Factoring in potential user attrition, he suggested a realistic valuation between $3 billion and $3.5 billion. Additionally, Hexdrunker emphasized that strong performance from similar perpetual DEXs at launch supports the token’s potential despite airdrop pressures.

Insider Activity and Launch Timing

Meanwhile, insiders have reportedly faced losses due to confusion over token release dates. Kyle the Writer reported, “Polymarket odds are squeezing while all accounts called ‘insiders’ are drowning in losses.”

The LIT release on MEXC spot is scheduled for January 7, yet no official token generation event (TGE) date was confirmed in recent AMA sessions. Consequently, panic selling has affected wallets misidentified as insiders, creating short-term market volatility.