Launch Lending Protocol on Solana With Fluid

At the Solana Accelerate event, Jupiter revealed a bold expansion. Known for dominating Solana's DEX aggregator space, the platform now steps into crypto lending.

Jupiter, the dominant DEX aggregator on Solana, is expanding into the lending space with its own protocol.

The protocol is being built with Fluid, a DeFi innovator that started on Ethereum and is now bringing its technology to Solana.

“Fluid is known for leading the way in DeFi with its innovative solutions,” said Kash Dhanda, an investor at Union Square Ventures, which has backed Fluid since 2021. “Now they’re bringing that cutting-edge technology to Solana.”

Jupiter began in 2021 with a single developer, known as Meow, and has quickly become a core part of Solana’s DeFi ecosystem.

Its lending feature will target the high-efficiency traders and investors in the ecosystem.

Jupiter Lend will offer some of the most aggressive loan-to-value ratios in the industry, aiming for up to 90%, compared to the typical 75% offered by most platforms.

It will also have its own liquidation engine and dynamic risk controls, which are designed to isolate risk and boost capital efficiency.

“We’re bringing together the best of both worlds to empower traders and investors with even greater opportunities,” Dhanda said. “Instead of limiting users to just trading, we’re seamlessly integrating borrowing and lending into the same familiar flow.”

JUP Surges

Following the announcement, JUP, Jupiter’s native token, shot up more than 12% to reach $0.58.

Earlier in 2024, Jupiter already distributed 700 million JUP tokens, which were valued at approximately $580 million at the time. This followed a 2023 airdrop of nearly a billion tokens.

With this move, Jupiter aims to go beyond trading and serve as a central anchor for every major piece of the DeFi stack on Solana.