Jupiter Launches Buyback Plan and Acquires Stake in Moonshot
Jupiter, a DEX aggregator on Solana, is experiencing a price increase despite broader market declines. Key points include:
- JUP token rose over 34% against bitcoin in the past week.
- A new buyback plan allocates 50% of protocol fees to purchase tokens from the market for long-term reserves.
- The protocol facilitated nearly $2.2 trillion in volume with $6.5 billion in trades in the last 24 hours.
Concerns have arisen regarding Jupiter's implementation of a 5bps fee for basic swaps, viewed as monopolistic by some in the community. This shift is said to contradict Solana's lower-cost value proposition.
Recent acquisitions include a majority stake in Moonshot and SonarWatch, raising concerns about potential centralization in the Solana ecosystem. Additionally, Jupiter plans to launch Jupnet, an omnichain network aimed at improving usability.
While some warn of monopolistic practices, others believe Jupiter's growth could stimulate innovation and attract new developers to the Solana platform.