According to ChainCatcher, Jupiter co-founder meow wrote that the proposal to reduce JUP tokens is not a short-term one-off event, but is intended to solve three problems that are important to the long-term health of the token:
1. Reduce emissions and provide certainty;
2. Clean up the "exaggerated" part of FDV;
3. Enhance JUP community cohesion.
To achieve this, the Jupiter team itself will also reduce the allocated tokens, but it is not a random burning of money, but a community-wide agreement to make the long-term prospects of the token stronger than ever.