Lighter DEX Forces LIT Staking for Pool Access—What Users Need to Know

Lighter now requires users to stake LIT tokens to access its liquidity pools, with a two-week grace period for existing depositors. Staking unlocks fee discounts and yield, aiming to align user incentives and boost platform stability.

Lighter, a decentralized exchange, has introduced a mandatory staking requirement for its native token, LIT, to access its liquidity pools. Users must now stake LIT at a 1:10 ratio, allowing one staked LIT to unlock deposits of up to 10 USDC. Existing depositors have a two-week grace period ending January 28 to comply, after which staking becomes compulsory. Staking 100 LIT unlocks zero fees for withdrawals and transfers, and stakers will earn yield, with the APR to be announced. The move aims to align LIT holders with the platform’s goals, enhance risk management, and improve yield generation. Lighter has also announced upcoming premium fee tiers for trading firms, while retail trading remains free. The platform plans to extend staking features to mobile users and reported $200 billion in trading volume in December. LIT’s price has experienced volatility since its launch, currently trading below its all-time high.