Why Do Some Projects Release a “Litepaper” Instead of a Full Whitepaper?

A project may release a "litepaper" to provide a concise, easily digestible summary of the project's vision, problem, solution, and tokenomics, without the deep technical and legal detail of a full whitepaper. It serves as an initial marketing and communication tool to quickly capture investor interest.

It can also be released earlier in the development cycle. However, a litepaper should be followed by a full whitepaper before significant investment, as the lack of detail in a litepaper alone is insufficient for proper due diligence.