trismegistus

I've bought $LIT at essentially every price it's been offered, and I'm still buying here. One of the main technical reasons why is LIT's size. $LIT is too small. I simply don't think it's possible for everyone who wants exposure to get exposure. Currently, $LIT has a float of 250m, but 114m of that float has been staked, and 17m has been bought back, so the entire free float of $LIT stands at around 118m. That means LIT's real circulating market cap isn't 850m, it's much closer to 400m. This is a real problem for large allocators. If a large fund wants a small position in $LIT, they'd have to buy around 5% of the entire float. They'd have to do this on largely illiquid exchanges....and they are competing with other funds trying to do the same thing. So I believe what we are seeing now is the early days of a massive supply squeeze. There is simply not enough $LIT to go around. Interestingly, Lighter's unlocks in January might actually help this problem. Increasing $LIT supply might, paradoxically, increase LIT's price, because it will become more liquid and thus more available to large buyers. For right now though, there is less than 1m $LIT available on Lighter's spot book. 4 million dollars clears the entire supply.