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Cryptocurrency News Articles

Introducing Jupiter VERIFY, a Community-Driven Verification System Designed to Enhance Transparency and Security

Apr 03, 2025 at 12:03 am

The system, built on extensive development and feedback over three years, introduces two key verification tiers and a dynamic framework for evaluating tokens: blue-chip and community-assisted verification.

Introducing Jupiter VERIFY, a Community-Driven Verification System Designed to Enhance Transparency and Security

Jupiter Exchange announced the official launch of Jupiter VERIFY, a community-driven verification system designed to enhance transparency and security for tokens traded across Solana’s rapidly growing ecosystem.

The system, built on extensive development and feedback over three years, introduces two key verification tiers and a dynamic framework for evaluating tokens: blue-chip and community-assisted verification.

Introducing Jupiter Verify – Token Verification, Now 4x Tastier!

Token verification in defi is a permissionless nightmare and ever-evolving challenge but getting it right is crucial for the ecosystem to grow. That’s why Jupiter has grinded through multiple iterations of this problem. We hope you like it! 🔥🔥🔥

Solana’s DeFi Trust Problem

Solana’s DeFi ecosystem has reached record highs in daily transaction volumes, while the total value locked (TVL) surpassed $10 billion in 2025. This expansion has led to a surge in tokens, some legitimate and some fraudulent.

As a result, users are vulnerable to fraudulent projects, deceptive claims, and rug pulls.

Current verification methods rely heavily on centralized entities or manual reviews and have struggled to keep pace.

Jupiter, which processes over 60% of Solana’s DEX volume, recognized the urgency of the issue and took responsibility for enhancing user protection.

How Jupiter Developed VERIFY and How It Works

After extensive development and feedback over three years, Jupiter developed a multi-layered system combining algorithmic rigor with community participation. The system uses two key tiers and a dynamic framework for evaluating tokens: blue-chip and community-assisted verification.

Blue-chip verification requires tokens to maintain a market cap of $100 million for at least a month alongside consistent liquidity and trading volume. Upon meeting these criteria, tokens receive a trust badge, which assures users of their' financial and operational stability.

Community-assisted verification combines standard metrics like market cap, liquidity, and trading volume with qualitative factors. The latter include social sentiment ("CT likes"), developer activity, and ecosystem partnerships.

Finally, metrics like "community lore" (shared knowledge and narratives) are also integrated into the process.

By deploying its two key components, VERIFY minimizes scams, empowers users, and supports builders.

Jupiter also plans incremental updates, including expanding verification categories, integrating real-time audits, and launching a governance portal.

However, several challenges lie ahead in the months of beta testing. These include scalability since thousands of tokens launch weekly and subjectivity with metrics like community lore.

Disclaimer:info@kdj.com

The information provided is not trading advice. kdj.com does not assume any responsibility for any investments made based on the information provided in this article. Cryptocurrencies are highly volatile and it is highly recommended that you invest with caution after thorough research!

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Other articles published on Apr 05, 2025