Why did the collaboration between Jupiter and Irene Zhao trigger a trust crisis?

Core Event: The Clash Between Technological Progress and Reputation

The Solana-based decentralized trading aggregator Jupiter recently announced a partnership with controversial figure Irene Zhao to launch a new meme-coin project. The initial intention behind this move was to address longstanding issues within the meme-coin ecosystem—such as opaque token distribution and insider trading. However, once this partnership was announced, it sparked a huge controversy within the crypto community. The question is simple: a platform that promises transparency at its core, why would it choose to collaborate with a figure whose credibility is in doubt?

The Three Major Problems in the Meme-Coin Ecosystem

Although meme-coins have gained widespread attention through community enthusiasm and viral marketing, this field has long been plagued by the following issues:

False Decentralization Promises
Projects often claim broad token distribution, but actual control remains in the hands of a few insiders. This phenomenon has become the norm in the industry.

Insider Trading
Privileged holders leverage undisclosed information to pre-position or sell, while ordinary investors are left to be “harvested” in the dark.

Information Black Hole
Most meme-coin projects are tight-lipped about key information such as token distribution, governance structure, and development plans, sometimes even deliberately concealing it.

Jupiter’s rationale for collaboration seems reasonable—confronting problems directly and seeking solutions. But the choice of partner instantly undermines this logic.

Irene Zhao’s “Stained Record”

Irene Zhao is not a new face in the crypto scene, but her past project history raises concerns.

The $SIMP Token Turnaround
In 2022, Irene Zhao’s NFT project IreneDAO performed reasonably well initially, but the associated $SIMP token later experienced a dramatic collapse. More disturbingly, blockchain analyst ZachXBT revealed that Irene Zhao had sold $SIMP tokens to DWF Labs without disclosing this to investors—directly violating her previous promise of a “one-year lock-up.” The result? The $SIMP token price plummeted rapidly, and the project’s final market cap was only $453,900, damaging investor interests.

Konomi Project’s Failure
Irene Zhao was also involved with the Konomi ($KONO) project, which was ultimately delisted and failed to deliver on its core functionality promises. This further confirms her association with “failed projects.”

These cases demonstrate that trust issues are not just abstract accusations but are backed by concrete facts.

Why the Community Is Opposed

When news of Jupiter’s partnership with Irene Zhao broke, the community’s reaction was overwhelmingly negative.

Opinion leaders and ordinary users alike pointed out the irony: Jupiter champions “transparency” and “fairness,” yet chooses to partner with someone notorious for opaque transactions. This is not only a logical contradiction but also akin to slapping oneself in the face.

Well-known analysts like ZachXBT bluntly stated that this partnership carries significant trust risks. Community members even posed sharp questions: “How can Jupiter claim to improve meme-coin transparency while partnering with someone infamous for opaque trading?”

This stark contrast has disappointed many users who had high expectations for Jupiter.

Deeper Industry Dilemmas

The controversy between Jupiter and Irene Zhao reflects broader issues within the crypto industry:

Mismatch of Influence and Trust
In crypto, certain key figures (KOLs, project founders, etc.) wield enormous influence, but their credibility often cannot withstand scrutiny. This mismatch ultimately harms the entire ecosystem.

Lack of Governance Mechanisms
Many projects lack effective decentralized governance, with decision-making power still concentrated in a few hands. This allows problematic individuals to remain active within the industry.

The Importance of On-Chain Transparency Tools
Fortunately, blockchain analysis tools like ZachXBT are playing a role. These tools help identify misconduct and hold projects accountable to the community. But tools alone are not enough—the entire industry needs to establish stricter accountability mechanisms.

Reflection and Outlook

The partnership between Jupiter and Irene Zhao serves as a mirror, reflecting deep-rooted issues in the crypto industry regarding governance, transparency, and trust. While the intention to improve the meme-coin ecosystem is good, the way it is being executed significantly undermines this vision’s credibility.

As the community continues to follow this incident, Jupiter faces a tough choice: either prove its judgment was correct or admit mistakes and change course. In any case, this controversy has sounded an alarm—within crypto, partner selection and project reputation are equally important, if not more so, with the former often determining the latter. The crypto community will certainly no longer turn a blind eye to such contradictions.