Airdrop triggers $250M outflow from lighter trading platform within 24 hours

Outflows from decentralized exchange Lighter following its recent LIT token airdrop are not unusual, according to Bubblemaps CEO Nicolas Vaiman, as users rebalance positions and move to new yield opportunities.

On-chain data from Bubblemaps showed roughly $250 million withdrawn after Lighter distributed $675 million worth of LIT on Tuesday. Withdrawals included about $201.9 million on Ethereum and $52.2 million on Arbitrum, prompting Bubblemaps to question whether “all the (yield) farmers were leaving.”

Vaiman told CoinDesk the outflows represent roughly 20% of Lighter’s total value locked (TVL), which stands at $1.4 billion. He added that similar patterns were seen after previous token launches, such as Hyperliquid and Aster, and expects comparable outflows with future airdrops like PERP DEX and Paradex Extended.

CertiK researcher Natalie Newson noted that large withdrawals after token generation events (TGEs) are often driven by early participants and airdrop farmers. “Without transparency in token distributions, a few insiders can capture outsized gains shortly after launch,” she said.

Before the airdrop, LIT trading volume ranged between $8 billion and $15 billion in November but fell to roughly $2 billion in recent days. The token’s price has dropped nearly 23% since Dec. 30, from $3.37 to about $2.57.