vaperez,
This is a skin condition that can occur anywhere on the body. The exact cause is unknown, though autoimmunity is theorized. Treatment usually consists of steroid ointments or creams, or combined ointment creams. Lichen sclerosis does not cause skin cancer, although there have been reported cases of skin cancer occurring in the same area as lichen sclerosis. You can read more about it here
http://www.niams.nih.gov/hi/topics/lichen/lichen.htm
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