Jupiter Lend accused of exaggerated promotion: COO admits to deleting posts, "zero risk" claim refuted

[Crypto World] Jupiter Exchange’s COO Kash Dhanda recently admitted something a bit awkward—they previously deleted posts claiming Jupiter Lend’s vaults had “zero contagion risk,” which, in hindsight, wasn’t a precise statement. So what’s the real situation? Their vault design is indeed unique, but to achieve higher capital efficiency, they still employ rehypothecation strategies, meaning the collateral can’t be completely isolated.

This issue blew up after Kamino’s co-founder Marius Ciubotariu publicly questioned the claims, directly pointing out that Jupiter Lend’s actual practices don’t match the promoted isolation mechanism. Still, Jupiter Lend has some confidence—they’ve now surpassed $1 billion in TVL, and they highlight that during the major market downturn in October, their system withstood the stress and didn’t record any bad debt. They’re letting the numbers speak for themselves, but it looks like the technical debate is far from over.