JST in the TRON DeFi ecosystem: From governance tokens to growth capital assets

January 15, 2026 marks a significant milestone for JST as the project completes its second large-scale buyback and burn event. This event not only reflects the DeFi TRON ecosystem’s commitment to a deflationary mechanism but also reveals the economic model being built — where JST is no longer just a governance tool but becomes an asset intrinsically linked to the real growth of the entire DeFi ecosystem.

Buyback of 1.08 billion tokens: A profound deflationary mechanism

In this second phase, JST burned 525 million tokens, accounting for 5.3% of the total supply with an estimated value exceeding $21 million. Combining both buyback rounds, a total of 1.08 billion JST tokens have been permanently removed from circulation, representing 10.96% of the total supply. This figure demonstrates the speed of deflation the TRON DeFi ecosystem is implementing — more than one-tenth has been permanently eliminated in less than three months.

The capital sources for these buybacks clearly indicate the financial health of the ecosystem. JustLend DAO — the core lending protocol — raised $10.19 million from Q4/2025 net profits, while an additional $10.34 million came from the accumulated income reserve fund. These two funding channels prove that the TRON DeFi ecosystem is not a temporary operation but is built on a sustainable cash flow foundation.

JustLend DAO and USDD: The heart of the DeFi ecosystem

The performance of JustLend DAO in Q4/2025 is the clearest proof. As the leading lending protocol on TRON, its TVL has surpassed $7.08 billion, maintaining a top 3 position in the entire market. Notably, sTRX — a product allowing flexible staking of TRX while participating in other DeFi activities — has attracted 9.3 billion TRX tokens, providing a steady income stream for the protocol.

Meanwhile, the (Energy Rental) service also demonstrates professional cost management. Since September 2025, service fees have been optimized from 15% down to 8%, directly stimulating market demand and creating a stable growth revenue stream.

On the other hand, USDD — the decentralized stablecoin of the ecosystem — reached a milestone on January 14 when its TVL exceeded $1 billion. Interestingly, in less than two months, USDD’s TVL doubled, demonstrating high acceptance within the multi-chain DeFi ecosystem after deployment on Ethereum, BNB Chain, and other blockchains.

GasFree: Breaking down barriers to DeFi participation

A key overlooked factor is the GasFree wallet — an initiative launched in March 2025 that changed the game. This feature allows users to pay network fees directly from the tokens they transfer, such as USDT, without needing TRX upfront. Coupled with a fee subsidy program of up to 90%, GasFree has opened the door for millions of potential users.

As a result, transaction volume through GasFree has exceeded $46 billion as of January 15, helping users save over $36.25 million in network fees. This figure not only reflects market demand but also proves that the TRON DeFi ecosystem has successfully lowered entry barriers for newcomers.

Closed-loop value model: JST as a linking chain

Most importantly, the scheduling of JST is evolving. From a purely governance token, JST has transformed into a “capital asset” directly linked to the ecosystem’s profits. Through the buyback and burn mechanism, the increasing income from JustLend DAO, USDD, and other channels is continuously injected into the JST value platform.

This model creates a “stablecoin + lending protocol + governance token” feedback loop. USDD expands the user base, JustLend DAO generates profits, JST is deflationary as it captures that value, thereby increasing the attractiveness of the entire TRON DeFi ecosystem.

As of January 26, JST is trading at $0.04 with a market cap of approximately $389.63 million. Despite short-term volatility, the formation of this economic model indicates that the TRON DeFi ecosystem is building a real value foundation — where tokens are supported by profitable cash flows, not just speculation or market sentiment.