HomeGuidesLighter token drops 15% as LIT staking goes live

Lighter token drops 15% as LIT staking goes live

-

Lighter's LIT token has fallen by almost 15% within the last 24 hours after the platform announced its recent staking program.

While the launch brings a brand new deal with utilities and ecosystems, the decline is basically attributable to post-launch sales and broader market forces.

Introducing LIT Staking: Everything Lighter Users Need to Know

At the time of this writing, Lighter DEX’s LIT token was trading for $1.85. It is down almost 14.79% within the last 24 hours. With this drop, Lighter effectively validates the LIT token’s predicted 15% drop.

Lighter (LIT) value for money. Source: BeInCrypto

It comes just hours after Lighter detailed his stakeout plans. The network highlighted how LIT holders can now earn rewards and access additional features across the platform. Staking LIT provides access to Lighter's LLP, a key on-chain financial product.

News: Lighter has began staking for $LIT.

31 million tokens have already been staked.

Staker Rewards:
– LLP deposit allowance of 10 USDC per LIT staked.
– Fee-free quick withdrawals and intra-platform transfers with a minimum stake of 100 LIT.
– Discounted fee tiers for Premium… pic.twitter.com/eYlheTZFx6

— Lighter Daily (@lighter_daily) January 15, 2026

Under this system, users can immediately deposit 10 USDC into LLP for each LIT staked. Existing LLP holders will profit from a two-week grace period ending on January 28. Afterwards, the LIT used must remain within the pool.

According to Lighter, this mechanism is meant to higher align LIT holders with LLP participants and increase risk-adjusted returns.

Similar structures are planned for other public swimming pools, as a part of the exchange’s goal to “democratize on-chain hedge funds.”

Staking also comes with fee incentives. Premium marketmakers and high-frequency trading (HFT) firms receive discounts on newly adjusted fee tiers, while retail trading stays free.

“Staking LIT on Lighter will yield returns and we are going to begin publishing the APR as soon because it takes effect,” an excerpt from the announcement reads.

Lighter plans to release full details of its premium fee tiers in the approaching days in order that skilled traders can adjust their algorithms accordingly.

Other advantages include fee-free withdrawals and transfers for users staking 100 LIT, in addition to soon support for mobile staking. The income is initially generated from the usage rights that were previously reserved for premium users.

Why LIT has declined: Post-launch sales, FUD and staking volatility

Despite the potential upside from staking, the LIT price decline reflects a mixture of market aspects. Post-launch sales and token distribution following the general public mainnet launch in October have resulted in significant downward pressure.

Likewise, the Lighter Network continues to bear the burden of FUD related to alleged secret token sales. Its CEO, Valdimir Novakovski, had publicly addressed the difficulty via Discord.

A must read on the recent FUD attempt against Lighter. pic.twitter.com/vNRVtYio1F

— Lighter Daily (@lighter_daily) January 1, 2026

Early investors and airdrop recipients sold portions of their holdings, triggering a cascade of market exits. Trading volumes have also cooled for the reason that initial hype surrounding the launch and technical support levels have been broken, resulting in further selling.

The announcement of the stake itself could have exacerbated the decline that resulted from the “buy the rumor, sell the news” situation that exacerbated a period of natural volatility and profit-taking.

Lighter has previously attempted to support the token through buybacks that began on January 5, as outlined in its tokenomics model.

The generated fees and protocol buybacks might be tracked using the treasury account within the block explorer, see the link within the threadhttps://t.co/b6PubEokro

– Lighter (@Lighter_xyz) January 5, 2026

However, these efforts have thus far not been enough to offset selling pressure. The exchange stays a top contender within the perpetual swaps market, reporting nearly $5 billion in perp volume within the last 24 hours, behind rivals Aster ($6.2 billion) and Hyperliquid ($8.8 billion).

Perpetrator volume according to protocolsPerpetrator volume in line with protocols. Source: DefiLlama

Additionally, Lighter recently raised $68 million in a round co-led by Founders Fund and Ribbit Capital at a valuation of $1.5 billion.

As the platform continues to develop its LIT ecosystem, the introduction of staking represents a crucial step in integrating the token utility with access to financial products.

The post “Lighter Token Drops 15% as LIT Staking Goes Live” appeared first on BeInCrypto.

Article source: beincrypto.com

The post Lighter Token Drops 15% as LIT Staking Goes Live appeared first on Crypto Adventure.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

LATEST POSTS

ETH’s next stop may very well be at $4.1k, but that has to occur first

Ether (ETH) is trading around $3,300, and a futures market trend suggests further upside of 10% to 25%. However, the market may initially experience a...

Bitcoin rally collapses at $97,000 as funding rate stalls and retail traders wait

Bitcoin did not hold the $97,000 mark as its funding rate stalled and retail traders watched from the sidelines. Will TradFi Reignite Rally to $100,000?Key...

ETH’s next stop may very well be at $4.1k, but that has to occur first

Ether (ETH) is trading around $3,300, and a futures market trend suggests further upside of 10% to 25%. However, the market may initially experience a...

Bitcoin’s renewed rise to $100,000 was triggered by latest institutional demand

According to data and market observers, Bitcoin price has risen back above $97,000 this week, supported by sustained capital repatriation into U.S. Bitcoin spot exchange-traded...

Most Popular

bitcoin
Bitcoin (BTC) $ 95,453.00 0.88%
ethereum
Ethereum (ETH) $ 3,299.40 0.54%
tether
Tether (USDT) $ 0.999713 0.01%
bnb
BNB (BNB) $ 930.72 0.62%
xrp
XRP (XRP) $ 2.07 2.10%
solana
Wrapped SOL (SOL) $ 142.02 1.93%
usd-coin
USDC (USDC) $ 0.99975 0.00%
staked-ether
Lido Staked Ether (STETH) $ 3,300.61 0.49%
tron
TRON (TRX) $ 0.310971 1.87%
dogecoin
Dogecoin (DOGE) $ 0.139689 3.19%