The Jito Network has swiftly climbed to the summit of decentralized finance (DeFi) protocols within the Solana network, amassing an impressive total volume locked (TVL) of $1.04 billion, as reported by DappRadar. This ascent was not without its challenges, with the network experiencing a dip to $215 million TVL, but Jito persevered and emerged triumphant.
Lucas Bruder, a key contributor to Jito Network, expressed the team’s commitment during Solana’s low TVL period, stating, “Contributors were in the trenches with the community and are proud to be part of the wider Solana resurgence.”
Following the news of Jito’s domination in Solana DeFi, the value of the JitoSOL token surged by 8.5% intraday, climbing from $142.52 to $154.64. It currently maintains a trading price of $151.71, as per CoinGecko.
Jito Network, spearheaded by Jito Labs since its launch in November 2022, comprises the liquid staking pool token Jito Staked SOL (JITOSOL) and the native token Jito (JITO). These elements collaborate to offer a staking service on the Solana blockchain, aimed at distributing maximum extractable value (MEV) rewards among community members.
Bruder attributes Jito’s success to JitoSOL’s popularity as a preferred collateral source within Solana DeFi, with a significant 40% of the supply locked in DeFi currently. He elaborated on the initial hurdles faced by Jito, especially regarding the introduction of MEV bundles during a period of low network activity. However, the subsequent growth of a thriving marketplace for MEV auction and better block space has validated their strategy.
In a strategic move in December, the Jito Network conducted an airdrop of over $225 million in JITO tokens to the community, thereby transitioning governance to the Jito DAO. Bruder highlighted the success of this initiative, noting, “Jito DAO attracted delegates from major institutions, infrastructure providers, and community members such as Coinbase, Kamino, Pyth, and the Solana Foundation.”
Since its inception, Jito has witnessed the evolution of Solana’s DeFi landscape, fueled by initiatives like Pump.Fun. This evolution has welcomed a diverse array of projects in AI, gaming, and real-world assets onto the Solana network.
Bruder emphasized the role of strong builders and the allure of Solana as a platform, stating, “Strong builders shipping useful products on one of the best networks in the industry has been the defining narrative for Solana, but points farming has added fuel to the fire.”
As Jito Network continues to innovate and contribute to Solana’s DeFi ecosystem, the future promises continued growth and technological advancements that benefit the entire Solana community.
