Weekly Risk Report | February 17, 2025

chaoslabs · February 17, 2025, 7:22pm

Summary

Over the past week, the protocol’s volume decreased by 61.92%, averaging $550.5M per day, compared to $1.4B on average in the three weeks prior.
In the same span, SOL’s price decreased by 5.54%, ETH’s price increased by 1.47%, and BTC’s price decreased by 0.13%. JLP decreased by 3.14% vs. the JLP basket’s 2.51% decrease, representing an impermanent loss of 0.63% for LPs relative to the JLP pool’s underlying assets.
Jupiter traders’ aggregate realized PnL decreased by $2.4M in gross terms and decreased by $7.4M in net terms due to their long-favored exposure. Traders’ cumulative unrealized PnLs, meanwhile, decreased by $11.8M this week.

Protocol level

JLP pool

The JLP pool’s nominal SOL & WETH balance grew while its USDC balance contracted slightly this week.

That said, the pool’s composition remained close to target and utilization rates remained steady.

JLP Market Comparison

JLP’s market price decreased by 3.14% over the last week. In the same period, BTC decreased by 0.13%, ETH increased by 1.47%, and SOL decreased by 5.54%.

Given the JLP pool’s weights:

SOL - 47.69%
WBTC - 12.65%
WETH - 10.03%
USDC - 25.88%
USDT - 3.72%

JLP’s basket price decreased by 2.51%, reflecting a small impermanent loss of 0.63% for LPs due to the long-skewed imbalance of open interest.

Volume

Volume decreased by 61.92% on Jupiter in the past week compared to previous weeks, averaging $550.5M per day, compared to $1.4B on average in the three weeks prior. BTC’s average daily volume decreased by 65.56% over the last week compared to the three weeks prior.

SOL continues to be the most dominant market on Jupiter, consisting of 71.47% of the protocol volume in the last week.

Unique daily users

In the last week, Jupiter’s perps exchange has served between 5,000 and 8,000 addresses per day.

PnL

Due to Jupiter traders’ net long exposure, their aggregate realized PnL decreased by $2.4M in gross terms and decreased by $7.4M after accounting for fees. Traders’ cumulative unrealized PnLs, meanwhile, decreased by $11.8M this week.

Fees

Over the past week, Jupiter’s cumulative fees were ~$3.9M, with a daily average of $552.6K, a decrease of 65.38% from $1.6M the previous three weeks.

Market Level

OI distribution

Jupiter’s traders continue to have a strong bias for long positions. There’s currently no expectation or reason for that to change.

SOL:

BTC:

ETH:

Price impact

P99 trades by position size have paid 8.49 bps in the SOL market over the last four weeks, while BTC and ETH markets have paid 7.15 and 6.58 bps, respectively. P95 and below trades by size have paid less than 1 basis point above 6 bps, the base rate, in all markets.