Jupiter: The leading protocol in the Solana ecosystem, the new king of decentralized trading

Jupiter is the leading decentralized exchange aggregator on the Solana blockchain. Since its establishment in 2021, Jupiter has developed into an indispensable infrastructure within the Solana ecosystem, aggregating over 50% of the on-chain trading volume.

Project Overview

• Establishment Year: 2021
• Website: jup.ag
• Twitter:@JupiterExchange,420,000 followers
• Main products: trading aggregator, limit orders, DCA investment, perpetual contracts, etc.
• Token: JUP, Total supply 10 billion

Core Team

• Meow: Co-founder, previously involved in the creation of wBTC and Handshake projects
• Ben Chow: Co-founder, with extensive experience in product and interaction design.

Main Products

Trading Aggregator

Jupiter aggregates the liquidity pools of numerous DEXs in the Solana ecosystem, providing users with the optimal trading paths and prices. It currently accounts for over 50% of the transaction volume on the Solana chain.

Limit Order

Users can set order validity periods, exchange prices, and quantities to execute trading strategies precisely. This effectively avoids slippage and MEV issues.

DCA investment

Users can set parameters such as purchase frequency, price range, and time period to implement automated investment strategies.

perpetual contract

Jupiter Perpetual supports perpetual contract trading with up to 100x leverage, similar to the GMX model.

Project Advantages

1. High performance based on Solana: Thanks to Solana's parallel processing capabilities, Jupiter can handle a large number of transactions simultaneously.

2. Extremely low Gas fees: Each transaction only costs $0.00015, far lower than Ethereum.

3. Product Diversity: Providing diversified services such as aggregators, limit orders, dollar-cost averaging, contracts, etc.

4. Ecological Layout: Actively layout the Solana ecosystem through Jupiter Labs and LFG Launchpad.

Token Economy

• Total Supply: 10 billion JUP
• Initial circulation: 1.35 billion JUP(13.5%)
• Purpose: governance, liquidity mining rewards, transaction fee discounts, etc.

Project Risks

1. The tokenomics is simple and lacks locking mechanisms such as staking.

2. Future token unlocks may bring selling pressure

3. The JUP token has limited empowerment, and its value mainly relies on the development of the project itself.

Summary

Jupiter has become a core infrastructure in the Solana ecosystem, dominating the DEX aggregator track. Through continuous innovation and ecological layout, Jupiter is expected to develop into a unicorn project within the Solana ecosystem. However, its token economic model still needs improvement. Overall, the development prospects of Jupiter are worth looking forward to.