Proposal: Utilize Excess Jupuary Tokens for ASR [DRAFT]

[meow]

During the Jupuary airdrop earlier this year, a total of 215,461,850.21 $JUP remained unallocated due to unclaimed airdrops or compromised wallets that were not reassigned to new recipients.

Each J4J proposal aims to further foster community alignment through empowering the community to make key decisions over token decisions such as ASR (Active Staking Rewards) and Jupuary.

The first J4J proposal trimmed away any fat in the initial tokenomics. In the process, it also helped everyone in the J.U.P to understand the token breakdowns, thereby setting the stage for the two remaining votes.

The second J4J vote revolves around how to use the excess tokens from last Jupuary. There are three options:

1. Use the tokens to fund ASR for the next 1 year.
2. Burn the 215M tokens.
3. Return the tokens to the community multisig.

Option 1 - Use the Excess Tokens to fund ASR for a Year

ASR is a powerful mechanism to drive community engagement and DAO voting. The more you vote, the more you get rewarded. This delivers on the J4J mission by ensuring that those who are actively contributing to Jupiter receive more $JUP, which further expands their influence in the Jupiverse (more details here).

ASR was initially bootstrapped with 100M $JUP. 50M was distributed to voters in the first 3 months of the DAO. At the start of October, the remaining 50M will be distributed to those who voted between 1st July and 30th Sept (This proposal).

The ASR program has been successful so far. Over the last 2 quarters, we saw:

• 361M JUP staked across 585K+ addresses
• 12 Votes, with an average participation of 280M JUP (!)
• Lots of discussions, activity revolving around each vote.

Given the success of ASR and its alignment with the J4J ethos, we propose that the ~215M excess $JUP from Jupuary be used to fund 4 more quarters of ASR.

Each quarter, 50M $JUP would be distributed to JUP voters. This would ensure active engagement in all DAO related topics, while also rewarding those who contribute by voting. We believe this will create a stronger, more tightly aligned J.U.P.

This would also leave a surplus of 15M JUP, which would then be returned to the DAO for future funding purposes.

In short, this option would take the JUP from those who did not claim during Jupuary and redistribute it to those who actively engage in the Jupiverse.

Option 2 - Burn the Excess Tokens

Alternatively, there is an option to burn the tokens.

Based on community feedback, this is an important option to include because they believe it might be beneficial for all JUP holders by further reducing the gap between the circulating market cap (MC) and the fully diluted valuation (FDV).

Option 3 - Send to Cold Community Multi-sig

Done. Over.

Summary

There are ~215m excess $JUP tokens that were unclaimed in Jupuary 2024. We as a community need to decide what should be done with these tokens.

We are proposing three different options to the DAO:

1. Use the tokens to fund ASR for the next 1 year. This would increase DAO participation, community activation, and further the J4J mission.
2. Burn the tokens
3. Send the tokens to the Community Multisig

The team strongly recommends Option #1. ASR has been successful in rallying the community around every proposal, discussion, and vote. Continuing ASR will allow the Jupiverse to continue to grow as the largest PPP community in the world.

We hope the DAO can consider the options carefully and make the best choice for the Jupiverse.

[JAO]

Looks like we will have another 1yr of ASR. Thank you Meow and Team for considering the first Option! We love you!

[0xPit]

All 3 are great options. I love the idea of using the excess tokens to fund ASR for the next year. With as many products as you guys are building/releasing, Jupiter is positioning itself to be the clear leader of all-things DeFi, not only just on Solana, but all of crypto. Trying to secure max community engagement would be huge for the Jupiter ecosystem, and I believe using these tokens would help do just that. I have no idea how viable this would be, but even having an additional vesting process for these specific tokens could be an idea (utilizing Jupiter’s “Lock” feature, of course).

To play devil’s advocate…I could also be convinced that the best course of action would be…

LET IT BURNNNNNNNNNNNNN

[Klecko]

I vote for 1​:fire: awesome work your doing in this project

[Rico_JHE]

I think using the the unclaimed JUP for ASR is a great idea. Like stated having another year of ASR is attractive and a great option to generate more interest in the JUP token. I also think it’s important to reward the members who are taking an active role in JUP by voting and helping to shape the JUP token. Yes may be a simple vote but accruing, staking, and utilizing that asset shows a commitment to the ecosystem. That commitment should be rewarded.

[c2yptic]

I think the ASR has worked out very well, and getting more JUP to fund the ASR aspect of the governance just makes sense. I am very pro the #1

[Jerry_Jup]

Continuation ASR.
J4J !!!

[miuq]

J4J, we know what option to vote.

[Furious]

Follow team - option 1 simple.

[Brando56]

Let’s burn everything… I like this proposal!

[batmanxyxy]

All 3 options are great . I will go with qst option because it keeps people engaging and loyalty gets rewarded as ASR.

[Lowkeighh]

Love that there is the option to fund ASR for one more year. This will reward active members of the community and help foster continued participation. Great work!

[Doc]

Burn baby burn!

I needed more characters to be allowed to post.

[macximus]

I can surely tell that the majority will pass for: Use the tokens to fund ASR for the next 1 year.

• The positive side of the DAO is that JUP is locked 30 days, that helps prevent massive sell-offs (at once).
• Adding more supply to the same would add more to JUP lock (bubble) which is beneficial short term but potentially could cause bigger sell-off later…
• It is true as well that it would keep the community active/involved.

@meow

beneficial for all JUP holders by further reducing the gap between the circulating market cap (MC) and the fully diluted valuation (FDV).

My view which is objective (if i would be subjective, looking only at my bag i would chose differently): I lean option #2 for the reason stated above and addition think that many just attach themselves to the DAO voting solely for those benefits, not really caring about what is the content of each vote or the project itself. Off-course there will never be perfect DAO and everyone should choose for themselves.

Better scenario in my view would be to allocate 200 million JUP for the next 1 year for ASR either from a supply that was not issued yet or from unclaimed supply, while continue to burn down the total token supply.

[Saffron]

You know what to pick… option 1 babyyyy

[degen]

I agree with the team. Use 200M JUP for another year of ASR & return the remaining 15M JUP to the DAO for future funding purposes.

[Solarpenguin]

ASR makes the most sense given it was the original intent of the allocation. Support !!

[Santos]

I like more de option 1 to use for ASR

[zenpunkt]

We are the best DAO in the cryptosphere! J4J ASR

[defrank]

I would say go for option 1, using tokens to fund ASR. The thing is if we choose option 2 , it will benefit actual holders in short- long term but it doesnt help to create community . On the other hand option 1 could help to increase the participation of the DAO and maybe create more options to involve participation of the community in order to new people could join jupiter dao.