Meow’s 2030 Lock-in

Jupiter DAO
81

I think the team has focused heavily on integrity of the token every since the token genesis → There was very clearly outlined token allocations (50-50 team and community), and a signal that team related emissions would begin from 2025. There were 2x community transparency audits (1, 2) that highlight the usage of tokens and bring attention to the token allocation and distributions. These are things that no other team in the ecosystem has done. Every large project has emissions, but in Jupiter case most of it actually of go towards the community via Jupuary, ASR and a lot of other DAO and WG initiatives.

  1. Team has really done a lot to try to improve tokenomics, much of it listening to the community feedback:

  1. Actually a lot of these details around emissions and the team compensation, since it’s for usage of team tokens, actually the team does not have to tell these things to the community, but because the team wants to be transparent, now it’s in a situation where everyone is basically fudding our own bags. This is not purely my observation, it’s echoed by several others on CT.

  2. The team’s focus cannot be on playing tokens games and shifting benefits around different stakeholders, and we all know that the way forward is to create net-winning outcomes and grow the pie. For this reason, the team wants to focus on the key product, ecosystem and community initiatives. There are many upcoming projects that will bring renewed vitality to the Jupiverse on both a product level and community level.

Also addressing some of the questions here

  • Q: Why must JUP tokens be distributed to new team hires? Why not just pay them in USDC?
    • It’s for alignment purposes and bearing in mind that 50% of the token supply is owned by the team and 50% is by the community, the token supply is there to be allocated and used and emitted over time. This allocation philosophy and purpose have been made clear from day 1 of TGE and transparently referred to throughout.
    • These tokens are not immediately made available, they are LOCKED. Cliffed and vested over 3 or 4 years, and will be rescinded in the event they do not perform up to expectations.
    • To ensure that the team members do not have to dump any tokens to pay for expenses, team members are also properly compensated in USDC. Hence ensuring that JUP is purely for alignment purposes long-term.
    • While 280M sounds like a large number, it’s 4% of the token supply and 8% of the team’s total allocation (4% out of 50% = 8%). The team expanded from 15 → 80 members. Earmarking 8% of a team’s total tokens to grow the team by a factor of 5x size, and with top founder-level and engineering talent, seems very reasonable.
  • Q: Why is meow asking for 220M more tokens from the community, isn’t it greedy? Why wouldn’t he be motivated with just his current allocation of 280M tokens?
    • 220M would bring his total to 500M, which is around 7% of total supply.
    • 7% for dedicating a decade to a company, without any option to exit in between is not unreasonable.
    • It’s not that he will be unmotivated, he has said so himself that he believes systems and actions matter most. Humans are notoriously bad at predicting how we will feel from day to day. So instead of leaving it up to that, he wants to put in place systems that will ensure his motivation is maximised and distractions are minimised to ensure the maximum chances that Jupiter succeeds. He will explain more about this.
    • The 220M tokens are not a given, he has to work for it, and having this vote and this mandate from the community will give him something powerful to work towards.
    • If you think it’s an unreasonable ask from the community, there’s an option to vote NO. This is why it’s a vote.
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