CEX Liquidator

Lighter Adopts the Hyperliquid Burn Model, With One Clause Worth Reading Twice On June 30, @Lighter_xyz announced that the ~15.5 million $LIT repurchased with exchange revenue since TGE (~6.3% of circulating supply) will be permanently burned, with all future buybacks following the same rule. Structurally, this completes Lighter's convergence on the @HyperliquidX model: revenue-funded buybacks, permanently removed from supply. However, the most consequential line is a footnote: "burns may be executed using undistributed $LIT rather than the exact repurchased tokens." For total supply the equivalence holds; for effective float it is weaker. Repurchased tokens came out of circulating supply, while undistributed ecosystem tokens never circulated and they come from the same 250 million $LIT reserve now funding the 6% staking yield. Lighter promised bought-back tokens will be destroyed. The footnote lets it burn tokens from a different pile instead, while the actual bought-back $LIT stays in the protocol's wallet: alive, and never explicitly locked. Total supply falls the same either way, but the doubt this update was meant to kill survives: those tokens could still re-enter the market someday. Until the real batch is burned or permanently locked, the burn is a promise you trust, not a mechanism you can verify, which is the core difference from @HyperliquidX, where the burn happens in code. @HyperliquidX burns at the protocol level with no treasury discretion in between; @Lighter_xyz is adopting through policy what @HyperliquidX enforces through architecture.