The phrase "type shit" has various meanings depending on context, but among younger generations it is often used as a slang expression to affirm or agree with something said before. It can mean something like "that's the type of stuff I’m talking about" or simply indicate agreement or confirmation, similar to slang expressions like "fo sho" or "bet".

Additionally, "type shit" can mean "kind of stuff," used to describe something resembling or characteristic of a certain thing or situation, often in a vulgar or casual way, as in "Stranger Things-type shit" meaning "that kind of stuff".

Usage examples include a conversation where one person says "I can DM you," and the response is "type shit," meaning affirmation or agreement. Another example is "Ohhh, type shit," after someone states where they are from, again meaning acknowledgment or emphasis on the previous statement.

In summary, "type shit" in slang usually serves as a form of agreement or affirmation or to denote a type or category of something, depending on context.