It’s the sort of feminism that’s 1. perfectly compatible with what gets called ‘neoliberalism’ - capitalism-friendly, corporate contemporary discourse, all about earning more money and leaning in at work, relying on yourself and being empowered to earn more money, being able to buy stuff (and in which your worth is measured by being able to buy stuff).
It also 2. on a deeper level seems to be compatible with liberalism in its more abstract political and historical senses - Western, post-Enlightenment liberal society, which prizes individualism over collectivism, personal autonomy over collective duty, liberal democracy over other political systems.
Now in some ways liberal feminism’s growth partly out of that tradition of liberal democracy is a positive one, if you are broadly supportive of liberal democracy as an ideal.
However, it might be that what you hear referred to as “liberal feminism” increasingly has less of the latter tradition about it, and more of the former. So sex work is imagined as empowering because it earns women money; transgender ideology is empowering not just because it seems to promise freedom to individuals, but also because you therefore can and should be able to buy it as a form of individual self-improvement (cosmetic surgery being something that is both an individual choice and which exercises a commercial power of buying what you want to have/be). In this it goes along with the way that cosmetic surgery and self-improvement are thought of in contemporary liberal society more generally: as a double good, because you are exercising your economic power as a consumer and also creating a version of yourself which is “better” as an individual. You are therefore “empowered”.
When you hear “libfem” being used, it’s generally to signify not feminism which is a deep part of a philosophical Western liberal political tradition; it’s generally to show that it’s the kind of feminism which is largely focused on economic and social choices as purely the domain of the individual, not the collective or the class. On this analysis all “choices” must be supported if they are made by women, because the idea of “choice” being coerced, or forced by economic circumstances, or deluded, or actively harmful, doesn’t enter into the equation - individualism and individual agency is imagined as always a good. So Onlyfans = empowering even if other women feel it harms them, because some women feel they benefit.