Jupiter price rises following the acquisition of a majority stake in Moonshot

Jupiter, a leading decentralized exchange (DEX) network built on Solana, has seen a notable increase in its price following its recent acquisition of a majority stake in Moonshot, a company facilitating the buying and selling of meme coins on Android and iOS. The acquisition was confirmed by Jupiter’s pseudonymous founder, “Meow,” in a tweet, though the terms of the deal were not disclosed.

Moonshot has gained significant popularity recently, particularly after meme coins related to Donald and Melania Trump were launched. As of January 20, Moonshot reached a record high of $6.3 million in daily fees, a stark increase from the under $50,000 it made at the start of the month. This jump in revenue highlights the growing demand for meme coins, which has likely contributed to the rising prominence of Jupiter and its new acquisition.

Jupiter’s acquisition of Moonshot signals its intent to expand its reach within the Solana ecosystem, which continues to gain traction. The overall market cap of Solana-based meme coins now exceeds $20 billion, with major players including Official Trump, Bonk, Pudgy Penguins, and Dogwifhat. Jupiter itself has established itself as one of the largest players in decentralized finance (DeFi), with a total value locked (TVL) of $2.4 billion. It has solidified its position in the booming perpetual futures market, holding the second-largest market share after Hyperliquid.

The Jupiter platform’s growth is also reflected in its trading volumes. According to DeFi Llama, Jupiter has processed over $208 billion in total volume since its inception, with its seven-day trading volume recently soaring to $15 billion, largely driven by the positive momentum in the Solana ecosystem.

The news of Jupiter’s acquisition caused a 15.7% rise in the price of its JUP token, bringing its market capitalization to $2 billion and its fully diluted valuation to $9 billion. The price spike was also likely influenced by the ongoing Catstanbul event in Istanbul, where developers have been showcasing their applications and innovations.

In addition to its recent expansion, Jupiter has been actively refining its tokenomics. Last June, Meow proposed a significant reduction in the total supply of JUP tokens, suggesting a cut of 30% from the original 10 billion tokens. This adjustment is aimed at further enhancing the value and utility of the token, which has contributed to its growing recognition as one of the largest liquidity aggregators on the Solana blockchain, rivaling even major platforms like Uniswap.

As Jupiter continues to capitalize on the growth of the Solana ecosystem and the rise of meme coins, its acquisition of Moonshot and other strategic moves indicate its strong position in the ever-evolving DeFi space.