What Is Jupiter and What Is Its Role?
Jupiter is a Solana DEX aggregator that finds the best swap route across exchanges; its JUP token is mainly for governance and is not needed to swap.
Vahe HakobyanEditor-in-chief
Updated Oct 6, 20263 min readFact-checked
On this page
- Jupiter routes swaps across Solana exchanges.
- JUP is a governance token, not a swap requirement.
- The aggregator also offers limit orders and dollar-cost averaging.
- Jupiter routes across DEXes instead of running its own pool.
If you saw JUP or heard the name Jupiter in a crypto chat, you may wonder what it does. Jupiter is a tool for trading tokens on Solana without checking each exchange by hand. Its token plays a smaller part than many expect.
What Is Jupiter's Role?
Jupiter is a DEX aggregator on Solana. It is not a blockchain or a coin. Its role is to find the best swap route across Solana exchanges so your trade gets a better price and less slippage. Slippage is the gap between the expected price and the price you get.
What Is JUP and What Can You Do?
JUP is the project's governance token. Holding JUP can let you vote on proposals, but it is not a ticket to use the swap tool. You can swap tokens, set limit orders, run dollar-cost averaging, and use other swap tools without JUP.
- Swap one Solana token for another.
- Place a limit order for your target price.
- Set up dollar-cost averaging to buy on a schedule.
- Move assets over to Solana.
How Is Jupiter Different?
The Jupiter team built the aggregator in 2021. Instead of running its own pool, it routes orders across Solana DEXes. You trade against pools that other exchanges run.
What Rules and Risks Apply?
Jupiter is software, so risks include smart contract bugs, failed routes, and network fees. In the United States, rules for JUP and for crypto derivatives are not settled, and they vary by state. Access to some products, such as perpetual futures, may be limited.
Frequently asked questions
Jupiter can earn from fees on some swaps and from its own products, such as perpetual futures. Fees can change.
Jupiter launched JUP in January 2024 and gave an airdrop to early users. It distributed governance power to people who had used the platform.
Jupiter is a web app, so you connect a Solana wallet. Wallets built for Solana usually work.
US residents can usually reach the swap interface, but some products, such as perpetual futures, may be limited. Rules for JUP and crypto derivatives are unsettled.
