Jupiter, a decentralized trading aggregator built on the Solana blockchain, has announced plans to conduct the airdrop of its JUP token in late January.
According to Meow, the pseudonymous founder of the protocol, the surge in decentralized finance (DeFi) activity on the Solana blockchain, fueled by meme coins, the Jito airdrop, and the soaring price of SOL, has set the stage for Jupiter’s upcoming token distribution, which may serve as a litmus test for the sustainability of the altcoin frenzy.
In a recent post on X (formerly Twitter), the founder emphasized that the protocol is not prioritizing hype or perfect price discovery, but rather aims to experiment with a major token distribution.
The airdrop, described as a “high-stress event,” is designed to ensure inclusivity by ensuring that “no cats are left behind.”
Nearly 1 million Solana wallets are qualified to receive a portion of the airdrop, representing 40% of the total supply of JUP tokens.
The protocol operates by routing token buy and sell orders through various on-chain trading venues to identify the best available price.
The distribution of such a significant number of tokens will not only stress test the JUP trading infrastructure but also the robustness of the Solana network itself, as highlighted by Meow.
“The downsides are obvious – bots are likely to have a field day at the very start (I personally don’t think this is a downside), and the network is likely to be extremely congested at the start, with both claiming and bots hitting the pools early on,” Meow wrote.
“In addition, there is very little certainty in how much funds we will have at the end of the stablizilation period.”
Jupuary Kickoff: Let’s launch JUP together!
Long essay ahead, no TLDR. If you can trade you can read*
The month of Jupuary will be a month of learning. We will learn how to launch JUP together as a community, learn how to improve the infra for high stress events, and be a great… pic.twitter.com/fGYEmz8Yvb
— meow 🥧 (@weremeow) January 2, 2024
Solana Continues to Acheive New Milestones
Layer 1 blockchain Solana (SOL) continues to make waves in the crypto community as it achieves several significant milestones.
Over the past week, the network surpassed Ethereum (ETH) in 7-day stablecoin trading volume for the first time ever.
As reported, the value of stablecoin transfers on Solana reached a staggering $103 billion last week, outperforming all other networks.
Ethereum secured the second position with $90.9 billion, followed by Tron with $82.3 billion and BNB Chain with $14.6 billion.
In addition to stablecoin trading volume, Solana also surpassed Ethereum in NFT trade volume for the month of December.
According to Degen News, Solana hosted trades worth $366.6 million, while Ethereum recorded $353.2 million.
However, data from CryptoSlam reveals that over the past 30 days, Solana’s NFT sales amounted to $329.3 million, which is approximately 5% less than Ethereum’s $345 million during the same period.
The popularity of Solana is evident not only in trading volumes but also in search trends.
In mid-December, worldwide searches for “Solana” surpassed those for “Ethereum,” as reported by Google Trends.
These milestones cap off a bullish year for Solana in 2023.