Jupiter Exchange has announced a significant decision following a recent governance vote: 30% of its $JUP team tokens will be burned.
This proposal, which received overwhelming support with 95% of votes in favor, will see 3 billion $JUP tokens, valued at over $2.37 billion, burned over the next six months.
The primary aim of this move is to address supply concerns and boost the value of the remaining tokens.
https://twitter.com/_RYUMETA/status/1820724269107532171?t=DxupyHNrCmhQx0DUyGgViw&s=19
The decision to burn $JUP tokens reflects the project’s commitment to aligning its tokenomics with the interests of the broader community. Burning tokens involves removing them from circulation, which reduces the overall supply and can potentially increase the value of the remaining tokens. By systematically burning the $JUP team tokens, Jupiter Exchange aims to bolster the token’s scarcity and, in turn, its market value.
$JUP Price Action To Watch
This move comes in response to feedback from $JUP holders and mirrors a broader trend in the cryptocurrency space towards increased transparency and accountability. Jupiter has maintained a price range between $0.55 and $1.30, frequently bouncing back and forth within this range. The phased nature of the burn will allow the market to gradually absorb the reduction in supply, minimizing potential disruptions.
Performance of tokens listed on Binance YTD
Since the beginning of 2024, a total of 30 tokens has been listed on Binance
At the current state, most of them are showing decreases in performance to varying degrees pic.twitter.com/CdtWngUaYN
— Coin98 Analytics (@Coin98Analytics) August 6, 2024
The success of the proposal, supported by 95% of the votes, underscores strong community backing for the token burn strategy. It highlights the community’s confidence in Jupiter Exchange’s governance and its commitment to enhancing the value of $JUP.
Overall, this landmark decision by Jupiter Exchange is expected to significantly impact the token’s market dynamics, promoting scarcity and potentially driving up the value of $JUP as the token burn progresses.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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