After the launch of Jupiter’s $JUP token on Jan. 31, Jupiter founder Meow faced criticism regarding the tokenomics, especially concerning the liquidity pool. Concerns were raised about a Dynamic Liquidity Market Maker (DLMM) pool that would support the token’s price for seven days. Critics worried that selling these tokens at the end of the period might resemble a classic rug pull.

Meow addressed these concerns through threads on various platforms and media appearances. It was clarified that the entire short-term pool is not being sold; it’s the team treasury used for price support initially and then other purposes. The tokens are locked for seven days, and if the price is over 0.40 USDC per token after that period, 2.5 percent of the supply can be sold to fundraise for Jupiter Exchange.

Meow emphasized that there is no selling after seven days and that they will take the LP pool into the team treasury and for other LP purposes. The clarification aimed to counter misinformation and assure the community about the token’s launch and distribution strategy.