David Hoffman, co-founder of Bankless, has disclosed how he redeployed capital after selling ETH, revealing a new portfolio tilted toward VVV, NEAR, ZEC, HYPE, and LIT. The move marks a notable shift for one of Ethereum’s most recognizable public advocates and has triggered debate over whether Hoffman is rotating into a new long-term thesis or chasing a different market segment.
In a post on X, Hoffman said he immediately took about 50% of the capital to VVV, NEAR, ZEC, and HYPE after selling ETH. The other half was held back for dollar-cost averaging into an asset that had not already moved sharply higher: LIT.
Hoffman’s investment thesis around LIT centers on Lighter, a perpetuals exchange. He argued that Lighter is more specialized than Robinhood, offering more assets, no KYC requirement, and better latency. He also highlighted zkLighter, a zero-knowledge system allowing end users to verify the exchange’s rule enforcement-a transparency feature he views as critical after the FTX collapse.
When asked about LIT versus HYPE, Hoffman said he views LIT as both beta and alpha to HYPE, citing faster buybacks, a superior product, and US domicile. At press time LIT traded at $1.50.
