Lighter Team Faces Scrutiny Over Alleged $7.18 Million Secret Token Sales
An investigation into the Lighter (LIT) token ecosystem has sparked concern amongst traders. It follows blockchain analytics revealing coordinated gross sales price $7.18 million for the reason that Token Generation Event (TGE).
The exercise has raised alarms over potential insider promoting and transparency points inside the Lighter venture, a decentralized finance (DeFi) protocol constructed on Ethereum.
Coordinated Deposits and Suspicious Patterns Cloud Lighter Sentiment
Five interconnected wallets acquired practically 10 million LIT tokens from a recent airdrop, comprising roughly 4% of the circulating provide. They have already begun offloading vital parts of their holdings.
Analysts be aware that the sample of deposits, token allocation, and gross sales suggests a deliberate technique fairly than natural market habits.
Blockchain researcher MLM first highlighted the exercise, noting that an entity deposited roughly $5 million USDC into Lighter’s liquidity protocol (LLP) round April 2025.
The funds have been evenly cut up throughout 5 wallets, which subsequently acquired a complete of 9,999,999.60 LIT tokens (~$26 million on the time of distribution).
Main wallets used to deposit into LLP:
- 0x30cD78B301192736b3D6F27Bdad2f56414Eb6164
- 0x9A6D9826742f1E0893E141fe48defc5D61866caD
- 0x7c5d228B0EB24Ad293E0894c072718430B07Dfe3
- 0xc0562d68b7C2B770ED942D28b71Bc5Aa0209bbee
- 0xfdBf615eC707cA29F8F19B7955EA2719036044bf
The spherical allocation and uniform distribution instantly drew consideration, as they characterize 1% of the whole LIT provide and 4% of circulating tokens. This provides the entity appreciable market affect.
In addition to the airdropped tokens, the wallets accrued one other $1–2 million from LLP yield, rising the whole worth on the entity’s disposal.
$7.18 Million in Sales Raises Community Alarm
Since the TGE, the linked wallets have sold 2,760,232.88 LIT tokens, equal to roughly $7.18 million. The prevailing sentiment is that the methodical nature of those gross sales suggests intentional liquidation fairly than reactionary buying and selling.
Blockchain investigator ZachXBT’s remark implies that the exercise could replicate opportunistic insider habits. Meanwhile, analyst Henrik questioned the implications for the broader LIT neighborhood.
“If that is appropriate, that’s a severe concern for each $LIT holder, particularly given the shortage of clear communication from the Lighter crew,” wrote Henrik.
The central situation stays the Lighter crew’s silence. Investors cite an absence of official communication relating to token allocation, vesting schedules, and distribution mechanisms.
Without transparency, it turns into troublesome to tell apart between legit market exercise and potential insider promoting.
The controversy arises at a vital second for DeFi, amidst dangers related to crypto airdrops and token distributions.
Airdrops are designed to reward early adopters and encourage decentralized possession. However, coordinated deposits and uniform allocations can permit a single entity to say disproportionate rewards.
The reported gross sales are already placing downward stress on the token’s value and fueling broader issues about governance and management alignment. As of this writing, Lighter’s LIT token is down by over 7% and was buying and selling for $2.53 as of this writing.
Additional gross sales from the remaining 7 million LIT in these wallets may additional destabilize the LIT market.
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