Today, let me analyze why JTO is worth buying at the bottom!!!
The recent crypto market has been volatile, with crashes and rebounds providing a good opportunity to test the resilience and potential of tokens. During several market adjustments, Solana's JTO token has attracted special attention. It has extraordinary resilience, with a small correction when the market falls and an astonishing increase when the market rebounds, showing strong performance. Why is JTO so strong? Let's take a deeper look at the reasons.
1. Jito Network Project Introduction
Jito Network was launched by Jito Labs. Jito Labs focuses on Solana MEV infrastructure. Jito Network can stake and obtain basic staking income, as well as MEV income. It is a double-income staking protocol. MEV is the additional value extracted by the validator to adjust the transaction order. Jito not only extracts MEV, but also distributes it to the stakers. It has a series of facilities to extract MEV. The more Solana transactions, the more MEV income Jito will earn, and the more it will be distributed to the stakers, so the TVL grows fast and is the highest in the Solana ecosystem.
2. Jito Project Financing
Jito has two rounds of financing. A seed round of US$2.1 million in December 2021 and a round A of US$10 million in August 2022, led by Multicoin Capital and Framework Ventures, followed by many institutions and some celebrities.
3. Jito Development Status
At present, the number of SOL staked by Jito Network has exceeded 10 million. Based on the current market price of SOL tokens, the TVL has exceeded US$1.88 billion.
Jito TVL surpasses Marinade, becoming the DeFi protocol with the highest TVL in the Solana ecosystem. The rise of JTO is related to the growth of TVL. From the Dune data, Jito's weekly MEV Rewards continue to grow. As the MEV infrastructure provider of the Solana ecosystem, Jito cooperates with high-quality projects, such as Jupiter's Swap platform, which launched a tipping function based on Jito Bundles to prevent MEV attacks. Jito is building a SOL re-staking service. The re-staking track will become hot in 2024, eroding the TVL of Staking projects. Binance Labs, a16z and other capitals have entered the game to detonate the re-staking track, and its narrative has expanded to public chain ecosystems such as Solana. More than 6 teams have built Solana re-staking services. Although Jito's CEO did not comment on whether the re-staking function will be launched in the future, as the DeFi staking protocol with the highest TVL in the Solana ecosystem, it is not surprising that Jito has a re-staking layout and has a first-mover advantage.
Token Economics
The Jito project token is JTO, with a total of 1 billion tokens. The token distribution plan is as follows:
Retroactive airdrop: 10%;
Community growth: 34.3%
Ecological development: 25%;
Investors: 16.2%
Core contributors: 24.5%.
Among them, the token lock-up period for investors (16%) and core contributors (employees of Jito founders and early contributors to the ecosystem, accounting for 24.5%) is one year, that is, from December 2023 to December 2024, and will only be unlocked in December this year.
It can also be seen from the JTO token unlocking plan that there will be a cliff-style unlocking in December this year (JTO allocated to investors and core contributors will begin to be unlocked). By then, the circulation rate of JTO tokens will be more than twice the current rate. In other words, there will be no large-scale unlocking of JTO tokens in at least the last six months.
Currently, the market circulation of JTO tokens is 128 million, the circulation rate is 12.7%, the circulation market value of JTO tokens is US$242 million, and the total circulation market value is US$1.897 billion.
In short, as the leading MEV infrastructure provider in the Solana ecosystem, Jito Network has successfully attracted a large number of users with its unique "staking income + MEV income" model, which in turn has driven its total locked value (TVL) to continue to rise. Today, Jito Network has become the protocol with the highest TVL in the Solana ecosystem, and the value of locked tokens has exceeded US$1.88 billion.
Looking ahead, Jito Network is likely to launch a re-staking function, which will undoubtedly further increase the staking rate of Solana ecosystem tokens and at the same time push up the market value of JTO tokens. Given its outstanding performance and forward-looking strategic layout, JTO is worthy of attention.
You can enter the market near 1.8 ~ target 6u!
