Jupiter’s acquisition, the plan of buying Spark Spark Solana ecosystem Dominance concern
In the middle of a bloody start On Sunday in Crypto markets, which saw fluids close to monthly high while various major tokens dropped a double percentage percent trend in a new Buyback plan.
Data from TradingView shows that JUP is more than 34% against Bitcoin last week despite seeing an 11% decline in the last 24 hours, compared to the near 4% BTC collapse.
JUP’s release is a result of a series of announcements made during its initial event, Catstanbul 2025, which responds to utility concerns. The pseudonymous founder of protocol, known as ‘Meow’, revealed that 50% of all protocol fees are set Litterbox, “a perennial reserve.
The move led to an increase in price, which showed a “high level of investor confidence in its project and approach,” according to Bitget Research’s chief analyst Ryan Lee. He said increasing the platform’s attention could attract new users and liquidity to Solana ecosystems in the long run.
In a statement to CoinDesk, Lee noted that the purchase program could “act as a catalyst for long-term growth as the team estimated that it could add hundreds of millions of dollars to the amount of purchase each year.”
Jupiter is Solana Top Dex Aggregator, facilitating nearly $ 2.2 trillion to total volume of more than 1.25 billion token swaps, according to data from Dune analytics. In the last 24 hours, its trading volume has been $ 6.5 billion over 6.9 million swaps.
‘Monopolistic behavior’
The announcement may have helped to climb Jup’s price, but it has drawn some concerns from the community.
Chris Chung, the founder of the Solana Swap platform Titan, wrote in an email statement to CoinDesk that “News this weekend Jupiter – Solana’s most used DEX – implemented a 5bps fee For major swap trading in the default ‘Ultra’ mode is frustrating news for traders.
Jupiter’s Ultra Mode is set to include features such as real-time slippage estimates, dynamic priority fees, and optimized landing landing, all strengthened by a new security tool “Jupiter Shield”. The success of the protocol, Lee of Bitget Research CoinDesk said, “There may be a risk of centralization.”
“If Jupiter continues to increase its influence and become a dominant player in Solana’s ecosystem, it can lead to great hope in a single project,” Lee said, adding that “situation is contrary to those Blockchain principle aimed at decentralization and distribution of influence.
Chung added that the “full amount of Solana’s proposal is lower cost and higher throughout, and the increase of 5-10bps in trading costs is significant in this context. But this is particularly frustrating when a Paid model is implemented when no performance benefits to the previous free version, especially if the features in question are important in landing transactions.
Jupiter also announced that it got a Most stake In Moonshot, the memecoin trading platform that Featured on the website of Memecoin by President Donald Trump and Reported “Brought 200k+ new people onchain” as a result.
The protocol is also there obtained On-chain portfolio tracker Sonarwatch, who is with Monshot Acquisition means, to Chung, whose Jupiter is “clearly looking to dominate the entire Solana ecosystem,” in a move that is both “unhealthy and harmful for change and for user experience. “
To the founder of Titan, Jupiter’s motions are worth “monopolistic behavior” allowing incumbents to “raise prices more and more in the absence of competition,” the type of behavior Decentralized finance is intended to be removed.
Expanding these concerns, Jupiter also announced the launch of the Jupnet, described as an Omnichain network designed “to combine -included all crypto in a single decentralized ledger for the maximum ease of use for those user and developer. ” The public version of its beta will come over the next few months.
Although the dominance of the Dex aggregator can lead to concerns with the potential concentration of power in the hands of a single player, it can have a silver lining. Jupiter’s focus on Solana’s ecosystem can lead to a new wave of developers interacting with it and creating new, unique products, Lee added Lee.
Mike Cahill, co-founder and CEO of PYTH Network’s main contributor Doco Labs, pointed out Jupiter’s motions as a “clear promise of expanding the defi infrastructure and improving dynamic liquidity.” The approach to the change, he added, could “push a new flower flowers into the Solana ecosystem, which means we will see many new memecoins and many new dapps as a result.”
Jupiter did not respond to CoinDesk’s request for comment at the time of press.
