Over $700 million worth of JUP tokens were airdropped to nearly a million wallets, attracting significant attention and trading activity. Now everyone wants to know two things.. Is $JUP a buy here, and how do I get into the next round of airdrops!?? Well in this article we breakdown what Jupiter Protocol and $JUP is as well as how they work. We also go over how the airdrop and future airdrops are structured. At the end of this article we have a trade idea for $JUP!
Jupiter Protocol ($JUP) is a rising star in the DeFi space, aiming to make blockchain accessible and secure for everyone. Recently, they made waves with a massive airdrop in January 2024, distributing millions of JUP tokens to users who interacted with their platform. It was a bold move that attracted significant attention and community engagement. But the question remains: what does the future hold for JUP and its holders?
JUP's massive airdrop in January 2024 sent shockwaves through the crypto world, attracting millions of people and distributing hundreds of millions of dollars. But what exactly happened, and what does it mean for the future of JUP and its holders?
Future Airdrops: Three additional airdrops are scheduled, happening on January 31st of each year (2025, 2026, 2027). There is 3 billion JUP remaining for future airdrops. It is not officially announced yet, but expected to be similar to the first airdrop with a combination of equal distribution and activity-based scoring.
Eligibility for future airdrops: While past engagement with Jupiter seems likely to again contribute to airdrop size, specific details have not been confirmed. Continue using the platform if you want to maximize your potential future rewards. JUP's recent massive airdrop generated significant buzz, attracting a million users and distributing millions of tokens. While the airdrop was a remarkable event, it's crucial to look beyond the hype and understand the core value of JUP and Jupiter Protocol.
More than just another cryptocurrency, JUP serves as the fuel for the Jupiter protocol, a Solana-based platform that aims to simplify and optimize decentralized finance (DeFi) for everyone. It acts as a liquidity aggregator, meaning it searches for the best prices across various decentralized exchanges (DEXs) and executes your trades with optimal efficiency. By leveraging the collective liquidity from multiple DEXs, Jupiter seeks to offer users:
There are also many features that Jupiter Protocol offers including swapping, liquidity mining, governance features and more:
Jupiter Protocol has a huge potential, but it is important to note it has an unproven track record and long-term viability concerns. It is currently focused on governance, with future use cases still evolving. It also faces competition from established DEXs and other aggregators. Now let's dive into how this all ties into $JUP.
Currently, the utility of the JUP token revolves around three main areas:
1. Governance in the Jupiter DAO: JUP token holders will have voting rights to participate in decision-making processes of the upcoming Jupiter DAO. This includes voting on proposals related to protocol upgrades, fee structures, partnerships, and other key aspects of the Jupiter ecosystem. As the DAO gains more prominence, the power to influence the platform's direction through JUP tokens becomes more valuable.
2. Community Incentivization: Jupiter uses JUP tokens to incentivize users and attract new participants to its platform. For example, a portion of the tokens might be allocated to reward users who provide liquidity, participate in governance activities, or contribute to the ecosystem in other ways. This incentivizes engagement and helps drive the growth and adoption of the Jupiter platform.
3. Staking and Potential Future Use Cases: While not currently implemented, staking JUP tokens might be introduced in the future, allowing users to earn rewards for locking up their tokens and contributing to the network's security. Additionally, the team has hinted at plans for integrating JUP into other functionalities within the Jupiter ecosystem, such as discounts on trading fees or access to exclusive features. However, specific details haven't been released yet.
The development of the Jupiter DAO and its responsibilities will shape the role of JUP in governance. Innovative features and integrations within the Jupiter ecosystem could create new use cases for the token. The overall success of the Jupiter platform and its adoption will ultimately determine the value and utility of JUP tokens.
50% of JUP was allocated for the team, based off of the following:
Community Allocation (50%):
Genesis Launch Details:
Team tokens are subject to vesting and lockups, ensuring long-term commitment. The community receives a significant portion of tokens through airdrops and grants.
The Jupiter airdrop, while large and widely anticipated, did receive some notable backlash. Here's a breakdown of the key criticisms:
Jupiter's founder defended the launch pool as beneficial for JUP holders in the long run, emphasizing transparency and adherence to the published tokenomics. The team also addressed user concerns and provided explanations regarding the launch pool and other points. Despite the backlash, the airdrop was largely successful, generating significant interest and showcasing the potential of the Solana network.
Some of the pros of JUP from an investor or traders perspective include:
Of course with any trade or investment, there comes risk:
Regulatory changes and competition from other established DeFi projects could negatively impact JUP's development and adoption. Overall market sentiment and broader economic factors can also significantly affect the price of JUP and other cryptocurrencies. Always do you own research before investing into any asset.
"So our levels are $0.5547, $0.61, $0.69 (noice) and $0.75 for now to focus on. The bearish scenario would be getting back below 61 cents and turning that level into resistance, at that point look to take it short and target $0.5547 with a stop above 63 cents.
For a bullish play, I mean I'm personally long right now currently, and I'm going to cut it if it gets below 61 cents. I'm looking for continuation to $0.655 and then $0.69... $0.655 is an important resistance, you could simply wait for a move above that level and a flip of it into support (retest) to take a long to 69 cents, with a stop below $0.635.
So there is a bullish and a bearish play, but I'm currently long myself right now. But, to be fair I'm scalping in and out quick and that's not easy for anyone to follow, so this is more so for experienced traders who took our courses in the premium discord." -BTC_JAY
Trade Idea 1: Bullish
Entry: Waiting for a break of $0.655 and for it to flip to support
Stop Loss: Below $0.635
Trade Idea 2: Bullish
Entry: Current levels ($0.62)
Target: $0.655, $0.69+
Stop Loss: Below $0.635
Trade Idea 3: Bearish
Entry: Waiting for a break below $0.61 and for it to flip to resistance
Stop Loss: Above $0.63
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