Jupiter (JUP): How to Earn Money with the DeFi Project
Jupiter is a liquidity aggregator developed on the Solana blockchain. It enables users to exchange tokens at the most competitive prices available.
The Jupiter team has recently introduced its native token, JUP, promising distribution of over 200 JUP to each early user who made transactions within the Solana network or on the Jupiter platform.
Users can verify their eligibility for the potential airdrop on the designated website.
An interesting point to note is the price variance between the JUP token on the OTC market and its derivatives contracts, which can sometimes be as high as 20-30%. This discrepancy offers potential for arbitrage. Furthermore, engaging in these activities might also qualify users for an airdrop from Aevo, which plans to release its own native token in 2024.
This article offers an in-depth analysis of the Jupiter platform, detailing ways to earn from the project, especially for those who missed the airdrop.
Features of the Jupiter Platform
Since its launch in 2021, Jupiter has rapidly gained traction among Solana users, akin to 1inch, by facilitating token exchanges with minimal slippage and the best liquidity conditions.
Jupiter smartly aggregates liquidity across various DEXs, allowing users to find the most efficient exchange routes for their specific trading needs.
Jupiter users currently enjoy a wide array of functionalities, including:
- Token exchanges within the Solana network at market prices;
- Placing limit orders for future token buys or sells;
- Implementing a DCA strategy to improve the average asset purchase price;
- Using a cross-chain bridge for transactions to and from the Solana blockchain;
- Trading in derivative contracts for cryptocurrencies like SOL, ETH, and BTC.
The interface of the Jupiter crypto protocol. Source: jup.ag
Jupiter meets a broad spectrum of requirements for Solana network users. The platform is compatible with various wallets, including Phantom, Coin98, Solfalare, Backpack, and Trust.
The JUP Token: What We Know So Far
The Jupiter team has announced on their X (Twitter) account that the protocol's native token, JUP, is scheduled for release in the first quarter of 2024. Notably, 40% of the tokens will be distributed among users of the Solana network and Jupiter traders who were active on the platform prior to November 2, 2023.
The JUP token distribution will take place in four stages. During the first stage, which coincides with the token's listing on exchanges, traders are set to receive 1 billion JUP, equating to 10% of the total supply. The following groups are eligible for the token airdrop:
- Regular users of the Solana network who did not interact with the Jupiter protocol but engaged in token exchanges on other platforms.
- Jupiter traders who have achieved a trading volume exceeding $1000.
- Active participants in the official X and Discord channels of the Jupiter project. This segment is earmarked for 1% of the total issuance, amounting to 100 million tokens.
A wallet example eligible for the JUP airdrop. Source: airdrop.jup.ag
For context, the Pyth Network, a similar cryptocurrency project, saw its token start trading on crypto exchanges in November 2023. Users received tokens valued between $100 to $2000, based on their historical activity on the platform.
Currently, JUP coins are being traded over-the-counter (OTC) for $0.3.
Earning Opportunities with JUP Now
Even though the official snapshot for activity on Jupiter has been taken, there are still ways for users to earn with the JUP token:
- Engage with the Jupiter platform to be eligible for future retroactive airdrops, as 30% of the token supply is allocated for these rounds.
- Buy coins in the over-the-counter (OTC) market. In essence, traders are purchasing wallets that have met the criteria for the airdrop. It's important to use a trusted intermediary to ensure the security of the transaction and the protection of deposits.
- Trade JUP futures contracts on the Aevo platform.
JUP/USD trading pair on the Aevo derivatives platform. Source: app.aevo.xyz
Final Words
The current bullish market has led to the release of many tokens, previously delayed due to liquidity issues. With careful strategy, there are ample opportunities to profit from these assets. However, it's important to remain aware of the risks inherent in cryptocurrency trading and to maintain sound risk management practices.
