With the addition of another 700 million JUP to the DAO, bringing the total staked to over 1.15 billion JUP, it’s important to consider how we can encourage people to keep their JUP staked. This substantial increase in staked JUP could significantly impact the rewards structure. In the last vote, we had 350 million voting power, leading to a projected 14% ASR for the quarter. However, with an additional 700 million JUP staked, even if only 50% of the new stakers participate in voting, the ASR could drop to below 7%, which is relatively low for DeFi standards and may not be attractive to most investors. To address this issue, I suggest that the 75% immediate claim fees be allocated directly to boost the ASR. This could help us maintain a competitive ASR percentage. What are your thoughts on this approach?
this is gonna be an issue for sure.
you have offered a great sollution.
that is = get a haircut = Goes to ASR
al forfeited jup should go to asr
Best way to mitigate this
- Any token loss due to claiming by private individual should be re-distributed to those that stick to the vesting period
- Token loss should be added to the ASR
- The 75% fee should be reduced to 30-50% or removed totally and allow users to do what they want to with the token, I will support auto-stake on claiming.
Interesting idea! But have you considered that most participants might choose not to claim their airdrops immediately? If that happens, there may not be enough overflow to significantly boost the ASR as you’re suggesting. ASRs are naturally expected to decline gradually over time, which makes sense.
What if we instead create a reserve of any unclaimed JUP to support allocations for future ASRs, especially since we’ve already secured them for the next four quarters? The goal, as I see it, is to sustain these incentives as long as possible. I believe the value of JUP will rise significantly over time, which would help offset the reduction in ASR token rewards.
Also, imagine a scenario where less-committed members decide to exit their staking positions to cash out; this could actually increase ASR rewards for the dedicated Juppers who remain committed to the project!
yeah i feel this is a lot more sensible, 75% is crazy high
In my opinion, an ASR of around 4% to 7% is simply not lucrative enough to incentivize people to stake their tokens for three months
YEah i agree, will which will lead to a heavy unstake and people less incentivised to hold their jup
I believe people who claim immediately should be penalized, though I’m not certain about the exact percentage. However, it’s reassuring to know that if bots or farmers somehow manage to receive an airdrop, they’ll either have to commit to being JUP supporters for a year or take a 75% loss, which will benefit the community
I completely agree with your perspective, especially on the value of sustaining ASR incentives and using unclaimed JUP to support future allocations. Ensuring that dedicated community members benefit from the project’s growth is essential.
However, I think we need a way to differentiate between genuine supporters and those just looking to exploit the system. Many bots and farmers, in my opinion, would likely sell even at a 75% loss since they have no commitment to the Jupiverse’s success. Increasing the ASR for loyal participants could be a way to reinforce this commitment and provide stronger rewards for those who are truly invested in the project.
Staking large amounts for only a 4% return over three months doesn’t seem compelling enough, especially in crypto where participants expect higher rewards for their dedication. Increasing the ASR would not only reward long-term supporters but could also encourage more consistent and genuine participation, ultimately benefiting the Jupiverse as a whole.
Largely agree with your thinking and point👍🏿
The ASR rewards will reduce significantly from 40%Roi because with millions of people automatically joining ASR program through jupnuary vesting cliff maybe the allocation for ASR may increase in the future who knows.
I find this topic pretty interesting.
Although my guess would be that (AT LEAST) 40% of the airdropped amount would be claimed instantly with the penalty of -75%, and considering that we have grown the staked JUP amount linearly since the start of the DAO, we would have a large inflow instantly into the DAO (both old and new members of DAO (only if the team proposes in the vote that whole allocation could be staked in 1:1 ratio for JUP:voting power like we have used to have from the start)).
Considering that ASR is in tendency to fall (you can look up @miuq post here where he explained in detail how the ASR has been looking since the first batch released back in summer) with possibility of rewards getting even lower if larger amount of the Jupuary gets staked, I would completely align with accepting the proposal where (almost) every JUP taken from users at the airdrop would be re-directed back into ASR, as it would most definitely bring more interest and appeal to the DAO both for existing and future users.
Totally agree this is a concern we should take seriously. 
Maybe 75% is a bit too aggressive. As really we want to strike a balance between those who stake and dilute ASRs vs those who sell whilst mitigating price impact.
Maybe go with a smaller “haircut” to incentivise sellers? But not by too much so we also counter price impact by not making the offer overly appealing. Perhaps 50% reduction - with the other 25% burned & 25% added to ASR pool. 
And/Or maybe new stakers receive a smaller ASR rate than year one stakers.
Initial thought that this will be self-correcting, i.e., if the yield for ASR is too low, many will unstake thereby increasing yield for those that remain.
$JUP price, amount staked, and ASR yield will eventually find an equilibrium based on the will of the market regardless of whether or not ASR is boosted with forfeited $JUP. It will just become one more variable in the equation but won’t necessarily chage the result.
$JUP yield for ASR will eventually be zero once all the tokens are distributed. The real question is: what happens then?
meow will be like - it’s a giftt! take it or leave it 
I’m down for ideas on how to consolidate ASR, and seems like Jupuary left over or penalty tokens could be a way to do that just like last Jupuary left over tokens, but the numbers seems a bit wrong to me. Let’s recap:
We have 442 mil staked jup right now.
The initial Jupuary was a total of 1 billion.
After many many months we are now at almost 50% Jupuary tokens being locked (not all of them vote), that actually share the ASR rewards.
700mil new tokens hitting the market via a new Jupuary is not certain. Meow suggested early June that he would like 2 more Jupuaries, not 3. There’s a total of 2.1 bil jup tokens reserved for future Jupuaries.
Until we get the proposal posted and discussed we don’t know if it will be 3 more Jupuaries at 700mil each, or 2 more at 1 bil each, or something else. I’m going to guess it’s 2 more. Let’s say 1bil new tokens get released in the new drop. Just guessing…
But, that doesn’t translate to the number of staked jup becoming 1.5bil right away (1bil new Jupuary tokens staked right away, plus the 440mil staked right now), that are voting and sharing ASR…
I do expect the number of staked jup to increase, and ASR reward to be affected by that, but don’t think it will be such a drastic reduction. I don’t think a new Jupuary would increase the staked Jup amount so much, but I could be wrong…
Nah, I’m pretty sure meow doesn’t like these games, but it’s neccesary, to make Jupuary a serious thing, and it’s a sign of listening to the community concerns regarding Jupuary, and fixing as many of those variables as possible… Efforts against sybil activity, vesting and a penalty for claiming early… It’s mostly about respect I think…
Great idea. Makes sense to give stakers an insensitive to vote yes without worrying about loosing on dilution
I like the solution to ASR, regardless were gonna need some sort of increase to ASR to keep people motivated to keep staking. Its gonna seem very baffling for someone to lock up their capital for the entirety of a month while being promised such a low return in the end with the amount of additional jup that will be staked.
I agree with your perspective. While Jupuary will significantly increase the staked JUP, it also risks creating substantial inflation, reducing rewards for existing JUP stakers. However, the idea of allocating the 75% immediate claim fee to the next ASR, specifically for pre-Jupuary stakers, could potentially help balance this issue. Still, I’m not convinced that the 75% alone would be sufficient to offset the impact fully.