Hi, crashguru.
The LSCache plugin is a WordPress caching plugin. It caches your WP site, but it does so at the server level, which is much more efficient than doing it at the PHP level like many other cache plugins do. The plugin is essentially the vehicle for allowing WordPress and the web server’s cache module to communicate with each other. You can learn more about that on our directory page.
The WP Plugin Directory is full of plugins that act as a bridge between WordPress and other third party software. CDN plugins come to mind immediately, but there are others. There’s nothing sneaky going on here.
That said, the LSCache plugin also has many premium-level features that do not require LiteSpeed Web Server, such as image optimization and critical CSS generation. These features are available to anyone and are 100% free.
Additionally, there are free versions of LiteSpeed Web Server available as well.
Please let me know if I can clear it up any further.