[DRAFT PROPOSAL] Strengthening Jupiter Ecosystem & JUP Stability (3-Part Initiative)

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[DRAFT PROPOSAL] Strengthening the Jupiter Ecosystem & $JUP Stability (3-Pillar Initiative)

Author: elcapita
Date: 25/04/2025
Status: Draft for Community Discussion

Introduction

Hello Jupnauts!

I’m excited to submit this proposal that combines three strategic initiatives aimed at strengthening Jupiter’s long-term growth: token stability, ecosystem expansion, and long-term staker loyalty.

These ideas were inspired by recent community discussions and concerns about volatility, utility, and sustainability. I’d love to hear your thoughts, suggestions, or any feedback before we push this forward.

Summary

This proposal outlines a 3-part initiative designed to:

  • Reduce token volatility and increase investor confidence
  • Boost ecosystem utility through builder grants and partnerships
  • Reward long-term $JUP stakers and governance participants

1. JUP Stability Vault (“Price Gravity”)

Objective

Establish a smart-contract based buyback vault to reduce sharp downward price volatility and stabilize the $JUP token.

Mechanism

  • Allocate 2% of the DAO Treasury (in USDC/SOL) to a vault contract
  • The vault automatically buys $JUP from the market if the price drops more than 20% within 24 hours (oracle-based trigger)
  • Purchased $JUP:
    • Is locked for 6–12 months or
    • Distributed to stakers/voters via a follow-up DAO vote

Expected Impact

  • Reduced short-term market panic
  • Stronger investor trust and long-term positioning
  • Positive price reinforcement during market dips

2. Ecosystem Builder Boost Program

Objective

Encourage developers and DeFi protocols to integrate Jupiter’s infrastructure (DCA, Aggregator, Limit Orders, Perps) and build on top of it.

Proposal

Launch a builder grant program with a budget of up to 5M JUP, targeting:

  • dApps using Jupiter tech
  • Projects integrating $JUP as a utility or staking token
  • UX/Tooling projects for Jupiter ecosystem

Grant Tiers

  • Micro ($5K–$10K): indie developers or small tools
  • Growth ($20K+): larger protocols with TVL or active user base

Distribution

  • Retroactive or milestone-based
  • Joint marketing via official Jupiter DAO channels

Expected Impact

  • Increased real-world use cases of $JUP
  • Deeper integration of Jupiter into the Solana ecosystem

3. Long-Term Staker Loyalty Program

Objective

Encourage long-term holding and reduce token churn through incentives for staking loyalty.

Mechanism

  • Introduce a staking multiplier:
    • 6-month lock = 1.25x reward
    • 12-month lock = 1.5x reward
  • On-chain enforcement via snapshot logic
  • Optional perks: airdrops, NFT badges, governance boosts

Eligibility

  • No unstake action during the locked period
  • Voting optional, but may increase rewards

Expected Impact

  • Less circulating supply → upward price pressure
  • Increased community engagement and DAO participation

Conclusion

This proposal aims to position Jupiter as the most resilient, community-powered protocol in Solana DeFi. With price stabilization, ecosystem expansion, and strengthened loyalty, we can take $JUP to the next level — together.

Next Steps

  • Open this draft for feedback and iteration
  • Discuss treasury allocation feasibility
  • Coordinate implementation with multisig and core contributors

Thanks for reading through!

If the community supports this, I’m happy to iterate based on feedback and help coordinate with the Jupiter team or multisig signers to make it happen.

Let’s keep pushing Jupiter to become the most resilient and community-powered protocol on Solana.