Warning! This article may contain spoilers for Loki. Read at your own risk!
At last, the person behind the shadow has been unveiled and we see that it's not another Tom Hiddleston face but a Sophia Di Martino one. With her face reveal, it has been confirmed that the variant, not the God of Mischief as we know him but Lady Loki. Who is she and what does her presence mean in the Marvel Cinematic Universe?
Loki: Who is Lady Loki?
As revealed in the final moments of Episode 2, Lady Loki finally made her all-out open debut and as she sets the whole Time Variance Authority into a chaotic timeline that the Time-Keepers would surely be on their toes in looking for a remedy, she takes Loki with her stepping into wherever she is hiding.
Loki was able to decode how she thinks when was thinking about where the hiding place of the variant is and he only wants to understand what does Lady Loki wants. Before the episode closes, it looked as if Loki betrayed the TVA and Mobius in going through the portal that was opened by the variant and following wherever she would hide next.
In the comics, Lady Loki is a popular character who was responsible for the destruction of Asgard, the one who pursued the Ragnarok prophecy. Of course, in the MCU, we all know it was Loki who did that but it seems that introducing Lady Loki is a way of opening the multiverse, an event that could cause the instability of the Sacred Timeline. Lady Loki is literally Loki in the body of a woman.
Powers of Lady Loki
Basing on the comics, Lady Loki and Loki are one in the same person. Their powers and skillset are the same. However, in the MCU, there is an ongoing supremacy battle between Loki and Lady Loki as they are not the same entity. As explained somewhere in the middle of the episode, variants of Loki come with different shapes, sizes, gender, and even whole physicality.
As for Lady Loki, she is definitely strong in combat and what makes her powerful is that she could fully control minds with no direct contact like the one we see in the episode. She still hasn't shown her powers of illusion projection or self-duplication, but hey, we have the whole remainder of the series for that. She's about to disrupt the whole Sacred Timeline as she opened various branches.
Theories also arise that she might not really be Lady Loki at all but another villain in the Marvel Comics, Enchantress, which is why she could control minds with such ease. In the credits, Sophia di Martino's character was named Sylvie Lushton, and in the comics, she is a New Yorker that Loki gave powers to for his own purpose. Sylvie modeled her appearance to Amora, the original Enchantress.