Jito proposed a governance overhaul that would direct 100% of the DAO’s JTX revenue share to the open market. $JTO buybacks and permanent token burns until at least Q4 2027.
According to a governance proposal released by Jito on July 13, the protocol introduced JIP-38, which would formally classify Jito as a token-centric network where almost all major network revenue flows to the decentralized autonomous organization and remains under the control of $JTO token holders.
JIP-38 is now online.
The value must live with the network. This proposal officially establishes Jito as a token-centric network, committing 100% of the Jito DAO revenue share from @JTX_trade to programmatic buyback and burning. $JTO for at least 1 year from the launch of JTX.
-Jito (@jito_sol) July 13, 2026
The proposal sparked an immediate market reaction, with Jito ($JTO) climbing up to 8% shortly after its release, according to data from crypto.news.
Revenues would be redirected to $JTO holders
Under JIP-38, Jito proposes to use the DAO’s entire share of JTX’s revenue to purchase $JTO tokens on the open market before permanently withdrawing them from circulation. Under the proposal, this arrangement would remain in effect for at least one year, until the fourth quarter of 2027.
An exception remains in the framework. The proposal states that 20% of JTX platform fees would continue to be reinvested into the development of JTX rather than being allocated to buybacks and burns. Jito said the remaining major sources of revenue would continue to flow through the DAO under governance controlled by $JTO holders.
To carry out the program, the proposal calls for redemptions to be executed automatically via a Rev Splitter mechanism overseen by the project’s Dev Council. Alongside the automation process, Jito plans to update its governance documentation so that the protocol’s operational model formally recognizes the token-centric structure.
Under JIP-38, existing revenue allocation commitments would be completed before a full review of protocol fee streams takes place in Q4 2027.
During this review, governance participants would evaluate the performance of token buybacks, ecosystem incentives, and other capital allocation methods before $JTO Holders vote on the network’s next long-term revenue framework.
Governance changes go beyond token burning
Beyond the buyback program, JIP-38 outlines several operational changes intended to support the new revenue structure. Under the proposal, the Rev Splitter would gradually become more automated while governance records would be updated to match the revised business model.
Jito also said in the proposal that the framework is designed in such a way that the value generated through the network accrues to the $JTO token instead of external corporate entities. Any future changes to revenue distribution after Q4 2027 would require approval through a governance vote by $JTO holders.
The proposal comes as Jito continues to expand its presence in the Solana ecosystem. Earlier this year, as previously reported by crypto.news, 21Shares launched the 21Shares Jito Staked SOL (JSOL) ETP on Euronext Amsterdam and Euronext Paris.
The issuer said the product offers regulated exchange-traded exposure to Solana through JitoSOL while integrating staking rewards, allowing investors to access the asset through traditional brokers and banks without managing wallets or staking infrastructure.
Institutional support for the protocol has also grown over the past year. As previously reported by crypto.news, the crypto division of Andreessen Horowitz (a16z) has invested $50 million in Jito to help expand the Solana staking protocol ecosystem.
The investment included an allocation of $JTO tokens to the venture capital firm, adding another high-profile backer as the protocol seeks approval of its latest governance proposal.
