Solana Jupiter DEX will launch its native DAO with an initial capital of 137 million dollars

Solana decentralized exchange (DEX) Jupiter is allocating 10 million USDC and 100 million USDC tokens ($127 million) to launch the Jupiter DAO, which is worth $137 million at the time of publication.

As announced on March 27, the budget “provides the ability for DAO to fund its proposals with the USDC and to leverage JUP allocations with JUP heralds over the long term.” To accomplish these milestones in the long term, we aim to fill the same budget each year.

For further contributions, Jupiter cited the following example:

“If DAO ends the year with 1.5M USDC and 50M JUP, the team will replenish 8.5M USDC from the revenue and an additional 50M JUP will be transferred from the community's cold wallets.”

At launch, the ecosystem's funds will be held in a multi-signature wallet in a decentralized autonomous organization that has three initial members and plans to expand its reach to more custodians in the coming weeks. Parallel to the announcement, the Jupiter DAO wallet address was issued with two separate USDC and JUP transactions.

We have officially funded 10M USDC and 100M JUP in the DAO wallet.

This operating budget will allow the DAO to fund its proposals through USDC and JUP allocations to have long-term incentive alignment with JUP contributors.

In addition to the LFG option, The DAO also…

— Jupiter (@JupiterExchange) March 27, 2024

Jupiter is currently one of the most popular decentralized applications on the Solana blockchain, with a total value locked of $381.49 million (TVL), up 86% month-on-month. At the time of publication, DEX accounted for 8% of the total TVL of the Solana ecosystem. The JUP token currently has a fully-merged market cap of $12.5 billion.

Having gained 807% in the last year, Solana SOL (SOL) has become one of the biggest cryptocurrencies by market cap. A huge part of that growth has been driven by the recent memecoin craze. On March 25, US President Joe Biden, Solana's memecoin parody Joe Boden (BODEN), has a market value of more than $250 million, a 54% increase in the past 24 hours.

Related: Solana takes the lead in weekly stable coin transfer volume