Stop the cap comes from slang where cap means a lie, so the phrase is a blunt way of telling someone to stop lying. Online, the clip spread as a short reaction sound rather than a full scene, shared in edits, streams and group chats where the laugh does most of the work. It sits alongside other exaggerated laugh reactions like the oh no no no laugh, and it stays popular because the meaning is instant, even without context, and the delivery fits almost any unbelievable claim, bluff or boast.