Justin Sun Invests $5.2M in LIT as Lighter Token Hits $700M Cap
Amid the growing buzz surrounding the newly launched LIT token, Tron founder Justin Sun has invested a massive $5.2 million in the project. This substantial bet comes as Lighter’s market valuation has surged to a remarkable $700 million just hours after its launch.
As the LIT token continues to surge despite fluctuations, Justin Sun’s staggering investment has captured much attention. With his move highlighting Sun’s confidence in the project, all eyes are watching the cryptocurrency’s potential movements.
The Justin Sun Effect: Lighter Valuation Surges
According to an X post by MLM Monitor, Justin Sun has made a huge investment of $5.2 million into the LIT token. This move comes following his withdrawal of the same amount of USDC stablecoins from one of his wallets. Utilizing this USDC, Justin Sun purchased about 1.66 million LIT tokens.
As the LIT price has slightly plummeted from his purchasing price, his total collection is now valued at $4.65 million. As Justin Sun still holds $1.2 million in USDC in his spot balance, the market anticipates his potential Lighter token purchase, with the trader waiting for the right time.
Significantly, Sun’s accumulation of the Lighter tokens signifies a strong vote of confidence in the project’s potential. This substantial investment could positively impact the token’s price by generating buzz and attracting more investors. As a prominent figure with a history of strategic investments in the crypto market, his move is likely to be closely watched by investors and traders alike. Thus, his involvement could drive more participation and adoption, potentially triggering a LIT price surge.
The LIT Era Begins
Lighter, an Ethereum-based DEX platform, has launched its LIT token, following weeks of speculation and growing interest in the platform. The LIT token is designed to align incentives across the ecosystem, benefitting traders, developers, institutions, and investors alike.
According to Lighter, every dollar of economic value generated by its products will directly accrue to LIT holders. The token’s structure includes transparent on-chain revenue tracking, with generated revenue allocated to ecosystem development and token buybacks based on market conditions. Additionally, LIT is expected to play a crucial role in market data validation and pricing infrastructure, serving as both a fee and staking asset for participants.
The Lighter token has a 50/50 supply split: half for the ecosystem and half for internal stakeholders. The internal share is divided into 26% for the team and 24% for investors, with a 1-year lockup period followed by a 3-year liners vesting schedule. The project has already secured $68 million in funding and saw a boost in user growth and trading activity after its mainnet launch in October.
LIT Airdrop Revealed
Interestingly, Lighter has allocated 25% of the total issuance (12.5 million) for an upcoming LIT airdrop to loyalty program participants. The token distribution is structured as 50% to the community, 26% to the team, and 24% to investors.
Team and investor tokens are locked for one year, followed by a three-year linear vesting period. Lighter plans to direct revenue to LIT holders, allocating funds between protocol development and token buybacks based on market conditions.
After launching at $2.73, the LIT price has surged to a high of $7.86 before plummeting to the current value of $2.71. The token currently boasts a market cap of $661 million.
