It meant 'Laughing out Loud', but actually is used as a 'jolly' by people (expecially by non-english people)when they dunno what to say.
Warrior of Ic3): Why did you cheat, stupid n00b?
Cheating Guy1): Ehm... cause.... lol
Forgott3n Hero): just....
Cheating Guy2) 'quitting from post-game'
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