Investing In Jupiter (JUP) – Everything You Need to Know

Jupiter (JUP) operates as an on-chain trading hub for the Solana ecosystem. It stands out against the competition due to its features and UX. Additionally, It’s currently one of the most popular and integrated protocols on Solana. Here’s how Jupiter continues to play a crucial role in driving adoption.

What Problems Does Jupiter (JUP) Attempt to Fix?

Jupiter Station solves many issues that have kept DEXs far from ever overtaking CEXs in terms of users. The platform was designed from the ground up to mimic the most popular CEXs regarding functionality and features. As such, Jupiter Station users enjoy access to on-chain limit orders, DCA, and much more.

Slippage

The unique structure of Jupiter Station enables it to eliminate slippage from the equation. This high-performance DEX prevents slippage using Keeper nodes to fulfill orders. This approach ensures that orders never fail due to slippage as well.

High fees

DEXs with better UXs traditionally have higher fees until now. Jupiter doesn’t charge transaction fees for regular AMM trades. The only fee is the gas on the Solana blockchain. As such, it’s a great option for high-volume traders.  There are only minor fees charged on deposits.

Privacy

CEXs have gotten more intrusive over the years. Nowadays, you need to provide so much information simply to access the decentralized economy via one of these platforms. Thankfully, Jupiter Station falls in line with the open nature of DeFi. Users can participate without the need to complete KYC and AML requirements.

Benefits of Jupiter (JUP)

Many benefits have helped Jupiter become the top-ranked platform on Solana. The developers combined a set of features that make the platform a hub for Solana liquidity. Additionally, the decentralized nature adds to the security and transparency of operations.

OnChain Swaps

Onchain token swaps bring many benefits to the market. For one, they lower rates by eliminating the middleman. Additionally, they are more secure as no party is involved, and smart contracts handle all transactions.

Limit Orders

Limit orders are pre-set trades that execute once a value is reached. These options are found on CEXs like Binance and Coinbase but are far less common on DEXs. The reason why is that it’s very difficult to complete limit orders when you don’t have an order book.

Jupiter leverages nodes to monitor the prices of assets and execute trades. This structure adds a wide variety of service capabilities to DEXs and the Solana ecosystem in general. Jupiter traders gain a significant advantage with this upgrade, which also eliminates slippage.

Liquidity

Another huge benefit that the Jupiter Network brings to the equation is its ability to gather liquidity across the entire Solana ecosystem. Networks like Ethereum have tons of liquidity, but the majority of other blockchains can find it tricky to obtain the level of liquidity needed to make DEXs highly responsive.

How Does Jupiter (JUP) Work?

The Jupiter network is built on Solana and leverages the network’s speed and security to remain valid. The platform also integrates charts data and technology powered by Birdeye and TradingView. This combination of features makes it stand out against a wide range of much simpler competitors. As such, developers call the platform the first DeFi 2.0 protocol.

Keepers

Keepers are network nodes tasked with completing tasks within the community. These nodes secure rewards for their efforts, including providing price data from various sources. Notably, keepers receive a portion of the 2% fee charged to the taker on limit orders.

DCA (Dollar Cost Averaging)

Dollar Cost Averaging is the best way to get the most crypto for the best price. The strategy behind this concept is simple. You buy crypto in intervals. This approach allows you to average out the purchase price to combat spikes in value.

The Jupiter DCA option allows users to automate buying and selling of SPL tokens at regular intervals. The setup only requires connecting your Solana wallet and preset the times and actions. From there, smart contracts complete the trades on-chain. There is a 0.1% fee for this service.

Bridge

The Jupiter network leverages a bridging protocol that allows users to bring their assets directly into the exchange from competitors. This feature is helpful for people who want to migrate assets from other exchanges into Solana.

Token

JUP (Jupiter United Planet) is the main utility token for the network. It is used to interact with services and improve liquidity. This versatile digital asset also acts as a rewards token and community governance instrument.

Wrapped SOL

Wrapped SOL is what is also traded within the Jupiter network. This asset is made when you bring an asset from one network to another. It works by locking the original asset into a smart contract and issuing a representing asset on the new network.

Notably, native SOL is not an SPL token, so it needs to be wrapped first. Wrapped assets are very popular nowadays. They improve liquidity and integrations across the entire industry. Notably, the wrapped asset is burnt when the original is withdrawn.

Governance

The Jupiter network Leverages a DeFi DAO (decentralized autonomous Organization) to streamline upgrades and community cohesion> This approach enables anyone who holds UP tokens to stake them and vote on upgrades. Users may also publish proposals for a vote.

How to Buy Jupiter (JUP)

Currently, Jupiter (JUP) is available for purchase on the following exchanges.

Uphold – This is one of the top exchanges for United States residents that offers a wide range of cryptocurrencies. Germany & Netherlands are prohibited.

Kraken – Founded in 2011, Kraken is one of the most trusted names in the industry with over 9,000,000 users, and over $207 billion in quarterly trading volume.

The Kraken exchange offers trading access to over 190 countries including Australia, Canada, and Europe, and is our most recommended exchange for USA residents. (Excluding New York & Washington state)

KuCoin – This exchange currently offers cryptocurrency trading of over 300 other popular tokens.  It is often the first to offer buying opportunities for new tokens.  This exchange currently accepts International & United States residents.

Uphold Disclaimer: Terms Apply. Cryptoassets are highly volatile. Your capital is at risk. Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment, and you should not expect to be protected if something goes wrong.

Jupiter (JUP) – Solana Just Got a heavyweight

The Jupiter is a promising project that already has been a major success. The exchange reported +$1.4B in weekly trading volume during Q1 2024. This trend is on the rise as more users enter the Solana ecosystem seeking high-performance exchanges with CEX features.

You can learn more about exciting blockchain projects here.