Jupiter, a Solana-based decentralized exchange aggregator, has officially paused all decentralized autonomous organization (DAO) voting until January 2026. This decision was announced by COO Kash Dhanda, citing the need to focus on product development and growth.
Reasons for DAO Voting Suspension
According to Dhanda, 'the DAO is stuck in a negative feedback loop,' which has slowed down execution and caused friction within the community. This announcement follows increasing criticism over governance practices and perceived insider overreach.
Concerns Over Centralized Influence
The suspension comes amid backlash from DAO participants over voting power distribution. Reports indicated that one project team cast over 4.5% of votes in a single proposal, while Jupiter insiders control about 20% of the native JUP token supply. This raised concerns about fairness and decentralization.
JUP Token Prices Decline Amid Suspension
Following the announcement, the price of the native JUP token was trading at $0.3972, reflecting a 50% decline year-to-date. This drop mirrors the broader correction in altcoins, which have experienced reduced investor interest amidst ongoing market uncertainty.
Jupiter's decision to pause DAO governance is rooted in internal friction and criticism of current governance models. The future of the JUP token remains uncertain amidst market instability.
