Lisk Soars More Than 700% in 24 Hours as Futures Volume Surges 11-Fold

Lisk's LSK token surged more than 700% in 24 hours, sending derivatives trading volume and open interest sharply higher. Expectations surrounding the shutdown of its native chain and a potential token burn, combined with large-scale short liquidations, appear to have fueled the outsized gain.

Crypto-focused media outlet BlockBeats reported on Sept. 13, citing CoinGlass data, that LSK futures trading volume reached $3.082 billion over the past 24 hours, up 1,054.79% from a day earlier. Open interest also soared 739.10% to $185 million.

Liquidations linked to LSK totaled $35.26 million during the same period, the largest among all cryptocurrencies. Of that, short liquidations made up $31.22 million, or about 88%. LSK touched $2 intraday before trading around $1.68, leaving its 24-hour gain at more than 700%.

Behind the rally are expectations tied to Lisk's business transition and a reduction in token supply. Lisk plans to shut down its native blockchain on Oct. 31 and shift to an enterprise treasury management platform based on Ethereum and Base. A DAO vote is also scheduled to determine whether to burn 100 million LSK, equivalent to 25% of total supply.

Renewed attention on the chain shutdown and asset migration schedule appears to have driven related demand. The subsequent price surge then triggered a broad wipeout of accumulated short positions, further accelerating the rally. Still, the migration burden tied to the chain shutdown and exchange monitoring measures are seen as factors that could heighten volatility going forward.