Jito DAO, a Solana-focused liquid staking solution, is considering allocating $7.5 million of traditional JTO tokens for liquidity mining, equivalent to about $29 million at current prices, constituting 3.1% of the total 240 million JTO held by the DAO's treasury. This proposal, the second governance initiative following last year's JTO airdrop, was suggested by Gauntlet, a DeFi research firm that previously ended its collaboration with Aave's DAO due to compatibility issues.

Jito is recognized for operating Solana's largest liquid staking solution, with a significant Total Value Locked (TVL) as reported by DeFilama. The protocol, Jito-Solana, manages Solana validators, distributing Maximal Extractible Value (MEV) rewards, primarily from traders' tips to validators, particularly benefiting holders of its JitoSOL liquid staking token. Notably, Jito's MEV earnings have surpassed those of Ethereum validators recently.

The growth in TVL is attributed to the points system, which facilitated user distributions during the JTO airdrop and directed funds to the protocol. However, after completing the points-based incentives, Jito's contributions to incentive schemes have been minimal compared to other Solana liquid staking platforms like Marinade and Blaze.

Gauntlet suggests that Jito allocate treasury funds to various liquidity mining proposals, with management entrusted to three Jito Foundation and two Jito Labs team members. This governance proposal is currently awaiting a response and will remain active for a month before being put to a vote on the DAO's platform. Ian Unsworth, a delegate of the Jito Foundation, has voiced approval of the governance suggestion.