I really use it as sarcastic exaggeration. If I see something that is prone to release tons of excitement for some people, I will write in a chat: "ZOMG, that and that happened".
Or sometimes, when a friend of mine intends to say something funny, which is not that funny, I will say (yes, SAY, not TYPE) "lol". In other cases, if someone is too loud, I will say STFU ("st'foo").
Yes, it is geeky. No, I don't care.
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