Jupiter, a decentralized exchange built on the Solana blockchain, has revised its token distribution strategy to ensure that airdrop rewards go to genuine participants, rather than to opportunistic airdrop farmers.
On Sunday, the Jupiter community passed an important vote that will allocate two $860 million token incentives over the next two years. This decision will significantly impact the future of the JUP token.
The vote was part of the second “Jupuary” initiative, an annual event where JUP tokens are distributed based on users’ interactions with the protocol over the previous year. After the original proposal failed to gather enough support, it was revised and reintroduced with changes aimed at improving the distribution process. The updated plan now includes additional safeguards to prevent tokens from being claimed by users who engage with the protocol solely for the airdrop rewards.
“Great care must be taken to ensure that JUP tokens go to the right people—those who have the potential to be long-term, active participants, rather than farmers or a small group fixated on rewards,” stated Jupiter founder “meow” in a proposal from November. “A portion of the tokens will be allocated to encourage users to hold, buy, and participate in governance throughout the year.”
“We are focused on rewarding real users, using factors like actual holdings, participation, and consistent usage. Bots will explicitly be excluded from this airdrop, unlike the first Jupuary,” meow added.
A snapshot to determine eligibility was taken in November, and a link to verify eligibility will be made available later this month. The actual airdrop is scheduled for next month.
In the meantime, JUP prices have dropped 7% in the past 24 hours, reflecting a broader downturn in the cryptocurrency market.
