{"id":13131,"date":"2025-07-24T13:50:07","date_gmt":"2025-07-24T12:50:07","guid":{"rendered":"https:\/\/investx.fr\/en\/?p=13131"},"modified":"2025-08-04T07:53:24","modified_gmt":"2025-08-04T06:53:24","slug":"jupiters-crypto-jlp","status":"publish","type":"post","link":"https:\/\/investx.fr\/en\/learn\/crypto\/jlp\/","title":{"rendered":"JLP : Functionality and Use Cases of Jupiter’s Crypto in 2026"},"content":{"rendered":"\n
JLP<\/strong> (Jupiter Liquidity Provider Token) represents a major innovation in the world of decentralized finance<\/strong> on Solana<\/a>. Unlike traditional tokens, JLP functions as a liquidity token<\/strong> that provides access to a proportional share of the liquidity pool powering Jupiter Perps, the perpetual trading platform within the Jupiter ecosystem.<\/p>\n\n\n This sophisticated token constitutes a diversified index of assets<\/strong> meticulously designed to optimize swaps and leveraged trading. Indeed, the JLP pool aggregates five major assets: SOL<\/strong>, ETH<\/a><\/strong>, WBTC<\/strong>, USDC<\/strong> and USDT<\/strong>.<\/p>\n\n\n\n JLP’s architecture is based on an automated counterparty mechanism<\/strong> where the pool acts as a direct counterparty to traders using Jupiter Perps. When traders open leveraged positions, they borrow tokens directly from the JLP pool, generating fees that are redistributed to token holders.<\/p>\n\n\n\n This unique approach allows JLP holders to benefit from both the appreciation of the pool’s assets and the revenue generated by perpetual trading activity.<\/p>\n\n\n\n The history of JLP<\/strong> is inseparable from that of Jupiter Exchange, launched in October 2021<\/strong> by co-founders “Meow”<\/strong> and Ben Chow<\/strong>. Initially designed as a simple DEX aggregator, Jupiter quickly evolved towards a more ambitious vision of creating the “best decentralized trading experience on Solana”<\/strong>.<\/p>\n\n\n\n The development of Jupiter Perps and the JLP token is part of this expansion strategy towards a “DeFi super app”<\/strong>. Jupiter’s team identified the growing need for decentralized perpetual trading solutions offering a credible alternative to traditional centralized platforms.<\/p>\n\n\n\n The launch of JLP marks a strategic turning point for Jupiter, transforming the platform from a simple aggregator into an integrated financial ecosystem<\/strong>. This evolution builds on the technical expertise acquired in liquidity aggregation and deep understanding of Solana traders’ needs.<\/p>\n\n\n\n JLP’s main innovation lies in its unified liquidity pool approach<\/strong> that eliminates the liquidity fragmentation problems typical of traditional AMMs. This architecture allows for reduced spreads and optimized execution for perpetual positions.<\/p>\n\n\n\n The primary creator of JLP<\/strong> is “Meow”<\/strong>, the pseudonymous founder of Jupiter Exchange<\/a> who has built one of the most active and engaged communities in the crypto<\/a> ecosystem. Meow embodies a transparent and community-focused approach to development, maintaining regular communication with users through social networks and AMAs.<\/p>\n\n\n Ben Chow<\/strong>, Jupiter’s co-founder, brings the technical<\/a> expertise necessary for developing the complex protocols underlying JLP. This collaboration between strategic vision and technical excellence explains the remarkable success of the Jupiter ecosystem.<\/p>\n\n\n\n The Jupiter team recently strengthened its capabilities through the acquisition of Ultimate Wallet<\/strong> and Moonshot<\/strong>, demonstrating an aggressive expansion strategy aimed at creating a complete DeFi ecosystem. These acquisitions bring additional talent and complementary technologies to JLP’s development.<\/p>\n\n\n\n JLP<\/strong> transcends the status of a simple liquidity token to become a true sophisticated financial instrument<\/strong> offering multiple use cases in the Solana ecosystem. Its primary function is to provide the necessary liquidity for Jupiter Perps to operate, but its applications extend far beyond.<\/p>\n\n\n\n JLP’s primary use case lies in passive income generation<\/strong> for its holders. By participating in the liquidity pool, investors receive 75% of the fees<\/strong> generated by perpetual trading activity, creating a revenue stream directly correlated to the platform’s activity volume.<\/p>\n\n\n JLP<\/strong> also functions as a diversified investment product<\/strong> offering balanced exposure to major crypto market assets. This automatic diversification eliminates the need to individually manage multiple positions, simplifying users’ investment strategy.<\/p>\n\n\n\n In the realm of advanced trading<\/strong>, JLP enables the implementation of sophisticated strategies such as delta neutral<\/strong>, where investors can hedge their exposure while retaining liquidity revenues. These strategies attract institutional investors seeking returns uncorrelated with market movements.<\/p>\n\n\n\n JLP’s use extends to lending protocols<\/strong> with the recent launch of Fluid<\/strong>, allowing holders to use their tokens as collateral to borrow other assets. This functionality increases capital efficiency and opens new arbitrage opportunities.<\/p>\n\n\n\n JLP<\/strong> operates exclusively on the blockchain<\/a> Solana<\/strong>, thus inheriting all the technical characteristics that make this blockchain one of the most performant in the crypto ecosystem. This native integration with Solana allows JLP to benefit from near-instantaneous transaction times and negligible fees.<\/p>\n\n\n\n Solana’s<\/strong> architecture is based on technical innovations such as Proof of History<\/strong> and Gulf Stream<\/strong>, allowing it to process up to 65,000 transactions per second<\/strong>. This exceptional performance is crucial for JLP, which must handle a significant volume of transactions related to perpetual trading and liquidity adjustments.<\/p>\n\n\n Solana’s position as a reference blockchain for high-performance DeFi favorably positions JLP to capture future growth in the sector. The ecosystem continues to attract new projects and users, creating a beneficial network effect for all native tokens like JLP.<\/p>\n\n\n\n Let’s now discuss the strengths and areas for improvement of the JLP token.<\/p>\n\n\n\n Currently valued at approximately $5.23<\/strong>, the JLP token has demonstrated remarkable resilience in recent months, with a stable market capitalization around $1.6 billion<\/strong>.<\/p>\n\n\n The price evolution of JLP<\/strong> follows a different logic from traditional tokens, being determined by the value<\/strong> of the pool’s assets and trading profits and losses. This valuation method offers complete transparency and eliminates speculative distortions in the crypto market.<\/p>\n\n\n\n The token reached its all-time high<\/strong> of $5.27<\/strong> on July 23, 2025, demonstrating growing investor confidence in Jupiter Perps’ business model. Daily trading volumes<\/strong> range between $60 and $100 million<\/strong>, testifying to equally robust liquidity.<\/p>\n\n\n\n Analysts predict a mixed 2025<\/strong> for JLP, with predictions varying according to Jupiter Perps adoption scenarios. Conservative projections anticipate a range of $3.40 to $6.24<\/strong>, reflecting a possible consolidation after the rapid growth of 2024 and 2025.<\/p>\n\n\n\n Some more pessimistic predictions call for a decline of about 20%<\/strong> to reach $4.17<\/strong> by August 2025, incorporating the risks of slowing DeFi activity and increased competition in the perpetuals sector.<\/p>\n\n\n\n In the medium term<\/strong>, JLP’s outlook is based on the maturation of the Jupiter ecosystem and the expansion of decentralized perpetual trading. For 2026, experts anticipate a range of $3.74 to $7.16<\/strong>, with an average price of $5.09<\/strong> based on 5% annual growth.<\/p>\n\n\n\n The 2030<\/strong> horizon opens more ambitious perspectives, with a maximum potential of $30.948<\/strong> according to the most optimistic projections. These predictions are based on the assumption of massive adoption of decentralized perpetual trading and significant expansion of the Jupiter ecosystem.<\/p>\n\n\n\n It’s worth noting that these predictions remain highly speculative<\/strong> and depend on many unpredictable factors, including technological evolution, competition, and the regulatory environment.<\/p>\n\n\n\n Let’s now look at the moments that have shaped the history of the JLP token.<\/p>\n\n\n\n October 2021<\/strong> marks the birth of Jupiter Exchange by “Meow” and Ben Chow, laying the technological foundations that would later enable JLP’s development. This period saw Jupiter establish itself as the reference DEX aggregator on Solana, creating the expertise necessary for more complex products.<\/p>\n\n\n\n 2022 saw Jupiter consolidate its position as a leading aggregator while developing perpetual products. The team refined its understanding of market needs and developed the liquidity management algorithms that would power JLP.<\/p>\n\n\n 2024 marks the official launch<\/strong> of Jupiter Perps and the JLP token, transforming Jupiter from a simple aggregator into a complete perpetual trading platform. This year saw the strategic acquisitions of Ultimate Wallet and Moonshot, strengthening the ecosystem.<\/p>\n\n\n\n 2025 confirms JLP’s maturity with the launch of the Fluid<\/strong> lending protocol allowing JLP to be used as collateral. Jupiter also announces an allocation of 150 million USDC<\/strong> to strengthen liquidity, demonstrating long-term commitment to the product.<\/p>\n\n\n\n JLP acquisition is exclusively done on Jupiter Exchange<\/a>, the native platform that hosts this unique liquidity token. Here is a detailed guide to buy JLP safely.<\/p>\n\n\n\n Step 1: Prepare your Solana wallet Step 2: Get SOL Step 3: Access Jupiter Exchange Step 4: Navigate to the JLP section Step 5: Make the JLP purchase Step 6: Confirm the transaction Once you’ve acquired JLP<\/strong> tokens, the question of their secure storage<\/strong> becomes paramount. Leaving your cryptocurrencies on an exchange platform (CEX) carries significant risks: you don’t directly control your private keys, and your funds could be lost in case of platform hacking, regulatory issues, or company bankruptcy.<\/p>\n\n\n\n That’s why it’s strongly recommended to transfer your JLP to a personal wallet<\/strong> where you alone hold the private keys. “Not your keys, not your coins<\/em>” is a fundamental adage in the crypto ecosystem.<\/p>\n\n\n There are mainly two types of wallets for storing your JLP :<\/p>\n\n\n\n The choice between a cold wallet and a hot wallet depends on your specific needs: opt for a cold wallet (like Ledger)<\/strong> for maximum security of your main investments, and possibly use a hot wallet (like MetaMask or Trust Wallet)<\/strong> for smaller amounts intended for regular interactions with Jupiter’s and Solana’s DeFi ecosystem. The essential thing is to always carefully secure your recovery phrase (seed phrase)<\/strong> and never share it or store it digitally.<\/p>\n<\/blockquote>\n\n\n\n
<\/figure>\n<\/div>\n\n\nThe History of JLP<\/h3>\n\n\n\n
Who Created JLP ?<\/h3>\n\n\n\n
<\/figure>\n<\/div>\n\n\nWhat is JLP Crypto Used For ?<\/h2>\n\n\n\n
<\/figure>\n<\/div>\n\n\nWhich Network Does JLP Run On ?<\/h2>\n\n\n\n
<\/figure>\n<\/div>\n\n\nAdvantages and Disadvantages of JLP<\/h2>\n\n\n\n
Advantages<\/h3>\n\n\n\n
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<\/figure>\n<\/div>\n\n\nDisadvantages<\/h3>\n\n\n\n
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JLP Price and Predictions<\/h2>\n\n\n\n
<\/figure>\n<\/div>\n\n\nPredictions for 2025<\/h3>\n\n\n\n
Predictions from 2026 to 2030<\/h3>\n\n\n\n
Important Moments in JLP’s History<\/h2>\n\n\n\n
2021 : Jupiter’s Foundations<\/h3>\n\n\n\n
2022-2023 : Development and Maturation<\/h3>\n\n\n\n
<\/figure>\n<\/div>\n\n\n2024 : Launch of Jupiter Perps and JLP<\/h3>\n\n\n\n
2025 : Expansion and Innovation<\/h3>\n\n\n\n
How and Where to Buy JLP ?<\/h2>\n\n\n\n
<\/strong>Download and configure a Solana-compatible wallet like Phantom or Solflare. Create your wallet by carefully saving your 12-word recovery phrase in a safe place. Make sure you have SOL in your wallet to cover transaction fees (about 0.01 SOL is sufficient).<\/p>\n\n\n\n
<\/strong>Buy SOL<\/a> on a centralized exchange like Bitget, then transfer them to your Solana wallet. Alternatively, use the direct crypto purchase function in Phantom with your bank card. Verify that you have the desired amount in SOL for your JLP investment.<\/p>\n\n\n\n
<\/strong>Go to jup.ag and connect your wallet by clicking “Connect Wallet” in the top right. Select your wallet (Phantom, Solflare, etc.) and authorize the connection. Verify that the displayed address matches your wallet.<\/p>\n\n\n\n
<\/strong>In Jupiter’s main menu, click on “JLP” or go directly to the dedicated page. You then access the Jupiter Liquidity Provider token management interface with buy and sell options clearly displayed.<\/p>\n\n\n\n
<\/strong>Click on “Buy JLP” and enter the amount of SOL you want to convert to JLP. The interface automatically displays the number of JLP tokens you will receive and the current APY. Check the transaction details and click “Confirm” to validate.<\/p>\n\n\n\n
<\/strong>Your wallet will display a confirmation popup with transaction fees. Click “Approve” to finalize the purchase. The transaction is usually confirmed within seconds on Solana. Your JLP tokens appear immediately in your wallet and start generating revenue.<\/p>\n\n\n\nHow to Store Your JLP ?<\/h2>\n\n\n\n
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