Lighter: An Update For Those Too Busy To Pay Attention
TLDR
Despite common bearish/aggressive crypto twitter sentiment towards Lighter and specifically the LIT oken, the team has continued to ship new features, products, and is growing their distribution via their partner attribution program which allows both crypto native and tradfi teams to tap into Lighter’s core infrastructure. Both revenues and volumes are down ~90% from their ATHs while their main competitor, Hyperliquid, is only down ~60% from their highs bolstered by wide adoption of their permissionless HIP3 markets. Lighter’s volumes have plateaued as commodity/equity volumes are now 5-10% of volume on any given day. With the welcomed integration of Telegram Wallet, Lighter has seen an uptick in retail/speculative taker flow, which over the next 3-6 months will likely give Lighter some maker pricing power. This is one of the unsung upsides of their current situation. Assuming volumes stay flat and take rate rises from .5bps to .8bps, you can see north of a 50% increase in overall revenue growth without any volume growth. Additionally, on the distribution side, Insilico, a leading crypto trading terminal...
TLDR
Despite common bearish/aggressive crypto twitter sentiment towards Lighter and specifically the LIT oken, the team has continued to ship new features, products, and is growing their distribution via their partner attribution program which allows both crypto native and tradfi teams to tap into Lighter’s core infrastructure. Both revenues and volumes are down ~90% from their ATHs while their main competitor, Hyperliquid, is only down ~60% from their highs bolstered by wide adoption of their permissionless HIP3 markets. Lighter’s volumes have plateaued as commodity/equity volumes are now 5-10% of volume on any given day. With the welcomed integration of Telegram Wallet, Lighter has seen an uptick in retail/speculative taker flow, which over the next 3-6 months will likely give Lighter some maker pricing power. This is one of the unsung upsides of their current situation. Assuming volumes stay flat and take rate rises from .5bps to .8bps, you can see north of a 50% increase in overall revenue growth without any volume growth. Additionally, on the distribution side, Insilico, a leading crypto trading terminal...