Jupiter Airdrop Draws Flak Despite Strong Support

• Concerns About Airdrop 
• Jupiter Addresses Concerns 
• Unwarranted Criticism 
• JUP Surpasses $450M Trading Volume 

Critics have come down heavily on how the JUP token was launched barely 24 hours after its highly anticipated airdrop. 

The launch of the JUP token, which was released only 24 hours after being highly anticipated for its airdrop, has been heavily criticized by trading volume critics. 

Concerns About Airdrop 

Earlier during the week, the Jupiter team had outlined a strategy beyond a simple token giveaway. The Jupiter team has outlined a strategy beyond a simple token giveaway to address concerns about airdrops earlier this week. The strategy's aim is to establish the JUP token as the core of DeFi 2.0, with an emphasis on expanding growth, ecosystem initiatives, and a governance model that eventually includes community decision-making. 

An approach to token supply, distribution, and security was shown in the '50/50 Tokenomics' token minting ritual and cold wallet release conditions, which ensured long-term project sustainability and community involvement. The Jupiter team's actions post-airdrop have been interpreted by some sections of the community as those of a public token sale, due to a few misunderstandings. The JUP token's open market offering by the Jupiter team is a crucial issue. The team has reported that this has become a more effective way to raise capital. 

Several discussions about transparency and whether buyers were making informed decisions ensued after critics claimed that this was not adequately communicated to participants. 

Jupiter had placed'moon protection' on the token, which meant it couldn't go higher than 0.70 unless the team secured $100 million, according to one user on X, and people were taking part in a sale without realizing it. The Jupiter team's inclusion of moon protection on the launch, unlike the plunge protection, is hilarious to everyone. The price cannot exceed.70 until they earn $100m. Definitely bearish People participating in a sale without even realizing it.”

Jupiter Addresses Concerns 

Jupiter’s founder took to X to alleviate such concerns, stating the team would have received more funds had they opted for an initial DEX offering or an over-the-counter deal. The founder of Jupiter talked about concerns related to X, stating that if they had chosen an initial DEX offering or an over-the-counter deal, the team would have received more funds. 

Their intention was to ensure that airdrop recipients could sell into a massive pool, while interested buyers were assured that there was a big enough pool to absorb the selling pressure from airdrops, according to their statement. We could have obtained a similar or higher amount without any confusion from pioneering new concepts and zero risk if I had conducted an OTC deal or a regular IDO. I can assure you, it was not difficult.”

Another user accused the Jupiter team of using the ICO to drive fake demand. However, Jupiter already addressed this in a document describing the tokenomics of the JUP token. Jupiter has already talked about tokenomics of the JUP token in a document. The comprehensive document addressed the token's inflows and outflows, storage places, and holders. 

Unwarranted Criticism 

However, Blockworks research analyst Ren Yu Kong believes the criticism around the airdrop is unwarranted, stating, 

“Fundamentally, Jupiter set a price and a valuation that they were willing to launch at, in this case, $4 – $7 billion FDV. Setting an IPO price for a company that is willing to sell shares is just like setting it by investment bankers. If participants don't like the valuation in the launch pool, they don't have to buy, and no one is forcing them to do so. If participants don't like the valuation in the launch pool, they won't be obligated to buy.”

JUP Surpasses $450M Trading Volume 

Meanwhile, the JUP token registered over $450 million in trading volume on Jupiter’s platform alone. That's easier said than done. Moreover, the jup token registered over $450 million in trading volume on Jupiter's platform alone. 

Jupiter processed over 1 million transactions in an hour after the JUP claim was made possible, as stated by a trader called 'TED Talks Macro'. In the hour following the JUP claim being made possible, Jupiter processed over 1 million transactions, according to Ted Talks Macro, a trader.