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Meteora LP Points Incentive Interpretation and Strategy

Meteora LP Points Incentive Interpretation and Strategy

As a platform closely associated with JupiterExchange, MeteoraAG launched a points program starting January 31st this year. This points program is detailed on their official website, forum, and Medium, but it is not explicitly displayed on the webpage. It is a hidden points system with no leaderboard.

Simple Interpretation:

  1. For every $1 deposited in the platform’s TVL, you accumulate 1 point per day.

  2. For every $1 earned in fees after depositing, you accumulate 1000 points per day.

  3. The official website filters out certain LPs and fee earnings that are specifically for volume brushing (meaning self-deploying tokens to brush TVL and fees won’t work).

Therefore, for individual retail investors, a feasible strategy might be:

  • Lock in pools with high daily LP returns, deposit a certain amount, and quickly accumulate points by earning LP fee income (since this is a 1000x leverage).

  • It is recommended to prioritize pools under DLMM, as this is their original strategy. Previously, Jupiter chose DLMM dynamic pools when issuing tokens.

However, please note that the funds deposited here, if denominated in USD, will be affected by: 4. Losses caused by the decline in the deposited currency. 5. Impermanent loss.

Correspondingly, your income also comes from two parts: 6. LP fee income. 7. Future earnings from platform points (such as airdrops).

My current strategy:

  • Small capital investment, selecting high-quality DLMM pools, high fee income, and high points coefficient (1000x).