Solana-based Jupiter Announces 1 Billion JUP Token Airdrop

Jupiter, one of Solana’s (SOL) hottest decentralized finance (DeFi) platforms, will airdrop a billion JUP tokens to select wallet addresses on January 31, 2024.

There is excitement and anticipation among Solana supporters and crypto traders who have seen airdropped tokens on Solana explode in price in 2023.

In this article, you will find all the information you need about Jupiter, its JUP token, and the upcoming JUP airdrop.

Key Takeaways

  • Jupiter is a very popular DEX aggregator on the Solana blockchain.
  • The project is set to airdrop 1 billion JUP tokens to its community on January 31, 2024.
  • The JUP airdrop eligibility criteria requires users to interact with the platform before November 2, 2023.

What is Jupiter?

Jupiter is a popular decentralized exchange (DEX) aggregator on the Solana (SOL) blockchain

DEX aggregators are platforms that allow users to access liquidity pools across multiple DEX. These platforms provide users with a single interface to search for the best trading prices across every DEX on the network.

On Jupiter, users can check the best prices for their trades across most Solana-based DEXs and DeFi platforms. 

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Jupiter also facilitates cross-chain trades via a tool called bridge comparator that allows users to compare and select the most efficient bridge for transferring tokens from other chains to Solana.

What is Special About Jupiter?

As of January 17, 2024, Jupiter was the most popular DEX aggregator in the world with a 24-hour volume of $374 million, ahead of multi-chain aggregators 1inch and Paraswap, data compiled by Defi Llama showed.

Over the years, Jupiter has grown alongside the Solana blockchain to become a household name in crypto. Thousands of users flock to Jupiter for its seamless user interface, reliable trading mechanism, low fees, and cross-chain features. The project’s single-chain approach has also helped it gain many fans within the Solana community. 

2023 was a breakthrough year for Jupiter as more first-time users entered the Solana blockchain, attracted by its booming memecoin and airdrop market. The platform was so popular that it boasted a cumulative trading volume of $35 billion in the first nine months of 2023. 

What is the JUP Token?

Let’s talk about the JUP token, which will be distributed on January 31, 2024. In this section, we will explain the tokenomics and utility of the JUP token.

JUP is the governance token of Jupiter. Here are the key utility points of the JUP token, according to Jupiter’s blog:

  • JUP token holders can vote on critical aspects of the token itself.
  • Token holders can vote on the timing of the initial liquidity provision.
  • Decisions on future JUP emissions beyond the initial mint will be in the hands of token holders.
  • JUP token holders can vote on ecosystem initiatives and projects.

As of January 17, 2023, Jupiter has not published its whitepaper, therefore we do not have extensive details about JUP tokenomics. Here are the details that have been revealed about the tokenomics of the JUP token:

  • JUP will have an initial supply of 10 billion tokens.
  • 40% (4 billion tokens) of the initial supply is allocated for community airdrops
  • 40% of the initial supply is allocated for team & strategic reserve.
  • The remaining 20% (2 billion tokens) was initially earmarked for token sale but is now allocated for liquidity provision, community contributors, and grants.

All You Need to Know About the JUP Airdrop

This section breaks down key details, including who is eligible for the JUP airdrop, when tokens are being airdropped, and more.

According to Jupiter’s blog, the project will hold four rounds of JUP airdrop distribution for the community. The first round of JUP airdrop will prioritize existing users of Jupiter and Solana.   

The later airdrop rounds will only be decided once a decentralized autonomous organization (DAO) is formed. Jupiter said the second round of JUP airdrop will be “growth-centric” with the primary objective of “attracting new users and enhancing liquidity within the Solana ecosystem.”

When is the First JUP Airdrop?

  • According to Jupiter’s founder, the first airdrop is scheduled for January 31, 2024.
  • One billion JUP tokens will be airdropped in the first round of the JUP community airdrop.

Who is Eligible for the First JUP Airdrop?

  • Wallets that engaged with Jupiter before November 2, 2023 “are eligible for consideration” for the first community airdrop.
  • According to the team, nearly 955,000 wallets interacted with Jupiter before November 2, 2023.
  • Users who interacted with Jupiter using integrations such as Sol-Incinerator and Solend will also be considered.

Solana is the Hottest Place in DeFi Right Now

In late 2023, Solana pipped layer one (L1) rival Ethereum in terms of active addresses, daily transactions, and trading volumes to become the go-to blockchain for decentralized finance activity. The low gas fees and raging meme coins attracted crypto traders from far and wide to Solana for a chance to make a quick buck.

Another prominent phenomenon that helped Solana attract first-time users was token airdrops.

In 2023, Solana saw lucrative airdrop launches such as Jito Network’s JTO and Pyth Network’s PYTH, where lucky airdrop receivers made thousands of dollars in an instant.

As of January 17, 2024, the JTO and PYTH tokens are the 157th and 107th biggest cryptocurrencies in the world, with market caps of $310.9 million and $532.2 million, respectively. That’s quite a feat for cryptocurrencies that didn’t exist less than six months ago.

The Bottom Line

The success of past Solana airdrops has added extra excitement and anticipation to Jupiter’s upcoming JUP airdrop.

Jupiter is an incredibly popular DeFi platform on Solana, it won’t come as a surprise if the JUP token pips JTO and PYTH in the market rankings.

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Mensholong Lepcha

Mensholong Lepcha is a financial journalist specializing in cryptocurrencies and global equity markets. He has worked for reputed firms such as Reuters and Capital.com. Fascinated with blockchain technology, NFTs, and the contrarian school of investing, Mensholong has expertise in analyzing tokenomics, price movement, and technical details of Bitcoin, Ethereum, and other blockchain networks. He has also written articles on a wide range of financial topics including commodities, forex, central bank monetary policies, and other economic news.