As we learned from today’s JUP rally that the DAO governance and voting has been suspended until the end of 2025.
While I do have some concerns about such a big decision being made behind closed doors, instead of through a DAO vote, I have some bigger concerns to share as well when it comes to the ASR rewards structure for the upcoming quarters; Q3 and Q4 of 2025.
Rewarding stakers based on their staking weight is fine, however, we would be diluting the heck out of the rewards by giving it to ALL stakers; regardless of them being inactive.
The rewards which would typically go to the active voters, would now be distributed amongst all the stakers, including the inactive ones (dead stakers, stakers with lost keys, airdrop hunters), further disadvantaging (or screwing) the most engaged members of the community.
- Currently, total JUP tokens staked = ~672,000,000 (672 million)
- Average number of votes per proposal in Q2 = ~532,000,000 (532 million)
- ASR pot per quarter = 50,000,000 (50 million)
Scenario A (Current scenario where only the active stakers are rewarded):
50000000/532000000 ≈ 0.094 JUP in rewards per staked JUP.
Scenario B (Rewarding all stakers regardless of them being active):
50000000/672000000 ≈ 0.074 JUP in rewards per staked JUP.
If we reward all stakers regardless of activity, active stakers would receive significantly less—about 27% less—than under the current system.
As such, I urge the team to consider introducing dummy votes—possibly lighthearted or fun ones (e.g., favorite color, favorite team member, Iran or Israel, Slorg or Kash, etc.)—at random intervals each month. This would help distinguish active community members from passive ones.
I believe this could address many of the concerns that have been circulating on X and Discord since the announcement.
Let me know your thoughts—or if you have a better idea, I’m all ears.
Update: @LFGWHALE made a solid counter where we could do on-chain wallet check-ins in order to separate the active stakers from the inactive ones, which would eventually accomplish the same goals.
I am totally in favor of his idea, as opposed to my original one to do “fun” votes.