What is Jupiter? Jupiter is an outstanding DEX Aggreagator platform built and developed on the Solana ecosystem. After a long period of operation, Jupiter has achieved certain results such as a huge number of trading volumes.
So what is so special about Jupiter that attracts users? Let’s find out together in this article.
Jupiter Overview
What is Jupiter?
Jupiter started out as a platform DEX Aggregator Jupiter then began to aim to become a DeFi Hub on Solana. Currently, Jupiter has connected almost the entire AMM and Wallet ecosystem on Solana and this is really a huge number. It can be said that when trading on Jupiter, users will be able to find the best price among many AMMs on the same platform.
It can be said that if Ethereum boasts a 1-inch unicorn, Solana can completely tie itself to Jupiter because up to now there have been hundreds of billions of dollars in total volume traded on this platform.
In addition to being a DEX Aggregator, Jupiter recently launched a new product that is a combination of AMM and OrderBook. Limit Orders. With this product, users can buy a cryptocurrency at a fixed price and the user must set the time to run this operation.
With transaction fees on Solana being extremely cheap, I find this to be a relatively suitable product that takes advantage of the liquidity of AMMs and the fixed price buying model is the strength of the Orderbook model.
Not stopping there, Juputer is currently building and developing a number of products including:
- DCA: Is a tool that can help users buy DCA of their favorite coins/tokens on the Solana ecosystem based on a fixed and sequential time frame.
- Bridge: Is a Bridge Aggregator product that helps users transfer money to the Solana network at the most reasonable cost. Besides, Jupiter is also building a bridge for himself with Wormhole.
- Perpetual: Is a Perp DEX platform that allows users to open Long – Short leverage orders with many types of assets on the Solana ecosystem. This Jupiter product learns a lot from GMX because Jupiter also has a JLP similar to the GLP of the GMX V1 version.
- Stablecoins: Jupiter will build SUSD based on SOL collateral and the staking mechanism of LSD projects.
In addition to the already launched features, Jupiter will also deploy additional products Jupiter Start – is a Launchpad platform The next generation on the Solana ecosystem is divided into 5 aspects including Community Intro, Educate, Pre-listing, Launchpad and Atlas.
- Community Intro: Potential projects will be introduced about themselves including overview, mission and working mechanism on Jupiter’s Discord community. The project and users will interact and exchange with each other on Discord itself.
- Educate: Quality projects will be posted on Jupiter’s media channels so users can participate in project tasks and receive rewards in the future.
- Pre-listing: Users can place orders such as buy and sell, DCA,… before the project’s tokens are officially listed on exchanges.
- Launchpad: Helps users participate in purchasing Public Sales of the project right before the project launches token launch.
- Atlas: Helps users participate in purchasing the project’s Seed Round before the project launches the token launch.
Mechanism of action
We will divide the working mechanism of Jupiter into different products including Perpetual, DEX Aggregator and Stablecoin. First comes the DEX Aggregator:
- Step 1: User issues a transaction request to Jupiter.
- Step 2: Jupiter begins choosing the “best path” for the user. With Jupiter V3, when a transaction takes place, it can be performed on many different DEXs on Solana as long as the slippage rate is guaranteed to be the lowest.
- Step 3: User receives the desired token.
Next, coming to Jupiter’s Perp DEX, we will have the operating mechanism of Traders and liquidity providers. For Traders, they just need to open leverage orders with a maximum ratio of x100 and, depending on their needs, have Take Profit and Stoploss accordingly. For liquidity providers, the mechanism will work as follows:
- Step 1: Users deposit their idle assets into the protocol which can be one type or many types such as USDC, USDT, SOL, BTC, ETH,…
- Step 2: Users receive JLP representing their assets in the liquidity pool. JLP operates similarly to GLP of the GMX v1 platform.
- Step 3: Use JLP on DeFi protocols to earn more profits.
Finally, coming to the Stablecoin SUSD platform, the mechanism of operation is as follows:
- Step 1: User deposits SOL into Jupiter protocol and has the right to mint Stablecoin SUSD at a rate of 130% and will later decrease to 110%. That means 100 SOL for $10 can mint a maximum of $700 SUSD.
- Step 2: Jupiter will send this amount of SOL into protocols that recognize LST Tokens.
- Step 3: Deposit LST Tokens into lending protocols to borrow out SOL
- Step 4: Continue depositing borrowed SOL into protocols that recognize LST Tokens.
- Step 5: Go back to step 3
Jupiter takes maximum leverage to create a Stablecoin that brings the highest profits to its users.
Jupiter’s Difference
The Jupiter platform has a number of differences as follows:
- Is the DEX Aggregator platform that brings the best price source for users today on the Solana ecosystem.
- Is the DeFi platform with the best UI UX on the Solana ecosystem alongside colleagues like Orca, Marginfi,…
- It is an ambitious project that expands into many different fields such as Derivatives, Stablecoin or LSDfi.
Core Team
The team that built and developed the Jupiter project is the same team that built the Mercurial Finance project.
Investor
Update…
Tokenomics
Information about Jupiter’s Airdrop
Jupiter has officially announced its Native Token JUP and will have a plan for those who supported the project early on with the following conditions:
- Welcome Gift: 200 JUP for everyone who used Jupiter to receive a 200 JUP bonus.
- OG Bonus: 200 JUP for everyone who used Jupiter V1 with Volume over $10 or 10 trades on Mercurial V1.
- Final Tier: Tiers will be calculated according to the user’s score. The top 2,000 are Tier 1, the next 10,000 are Tier 2, the next 50,000 are Tier 3, the next 168,000 are Tier 4 and the rest are Tier 5.
People can search about Jupiter’s Airdrop here.
Exchanges
Update…
Project Information Channel
- Website: https://jup.ag/vi
- Twitter: @JupiterExchange
- Discord: https://discord.com/invite/jup
- Blog:
Summary
It can be said that Jupiter has been very precise in selecting, building and developing products. In a time when DEX and AMM platforms are mushrooming on Solana, users really need a DEX Aggregator platform to be able to trade every token at the best price, so Jupiter has succeeded in hitting it right. In addition to customer needs, with friendly UI and UX, Jupiter is becoming more and more prominent.