Jito (JTO) Airdrop commenced on Dec. 7, sending the token price flying up over 600%, according to Coinstats, peaked at $4.36, and corrected to $3.7 at press time.
In short, JTO is a governance token associated with the Jito Network, a significant contributor to the Solana ecosystem.
To be eligible for the JTO token airdrop, participants must stake with Jito starting Nov. 25, 2023. Eligibility included platform users, such as validators, traders, and MEV searchers.
The airdrop allocation is divided into different tiers based on engagement, with 80% going to stakers, 15% to validators, and 5% to MEV searchers.
Once the airdrop goes live, eligible participants can claim their tokens on Jito’s website by connecting their wallet, after which Jito will transfer the earned tokens. It’s important to note that unclaimed tokens will be moved to the project’s treasury after 18 months.
Binance exchange listed the token, announcing the trading will begin at 16:30 UTC.
How JTO Runs On Solana
JTO token allows its holders to make key decisions that influence the future direction of the Jito Network, particularly within the Solana ecosystem.
Such decisions could include setting fees for the JitoSOL stake pool, updating delegation strategies, managing the treasury of JTO tokens held by the DAO, and contributing to developing Jito’s protocols and products.
Jito primarily enhances staking and validating on the Solana network. Traditional blockchains sometimes have incentives for stakers that can be detrimental to the entire chain, like spamming transactions to generate fees.
Jito addresses this by creating a pool of SOL tokens, which it stakes and validates using its network. It converts SOL into JitoSOL, which represents SOL on the network, and passes back rewards to the users.