Decentralized perpetuals exchange Lighter has officially launched a staking feature for its new LIT token, effectively transforming it into a golden ticket for platform access. The update went live on Wednesday, making LIT staking a core utility requirement for gaining entry into the Lighter Liquidity Pool (LLP).
The new rules are simple but strict: to deposit into the LLP, you now must stake LIT. The ratio is set at 1:10, meaning a single staked LIT unlocks the ability to deposit up to 10 USDC. This requirement is effective immediately for all new participants looking to join the party.
For the OGs already providing liquidity, there is a two-week grace period ending on Jan. 28. During this window, existing positions can keep running without staking a single LIT. After that deadline, however, staked LIT becomes mandatory to maintain your spot in the pool. Lighter stated this move will "lead to a greater alignment between LIT holders and LLP holders" and enhance the pool's risk-adjusted returns. The LLP is crucial as it provides yield and acts as the insurance fund during liquidations.
The exchange also plans to introduce similar mechanics for other public pools as part of its vision to "democratize on chain hedge funds." There are extra perks for stakers, too. If you stake at least 100 LIT, you get zero fees on withdrawals and transfers. Stakers will also earn yield, though the specific APR hasn't been announced yet. The staking feature will be available on mobile in the coming days, following Lighter's recent app launch.
Lighter launched its native token last month, allocating 50% of the total supply to the ecosystem for airdrops, future incentives, and partnerships. As part of its tokenomics, the project also confirmed on Jan. 5 that it had begun its LIT buyback program.
