JuCoin launches the "Contract Guardian Program" to strengthen user asset protection mechanisms

Note: This article is a submission and does not represent the views of ChainCatcher, nor does it constitute investment advice.

JuCoin officially launched the "Contract Guardian Program" in June, an innovative loss protection system designed to provide stronger support for contract traders. When users experience significant losses in weekly contract trading, the program will offer computing power subsidies to help users move forward steadily.

In the traditional model, exchanges typically focus on profiting from users' trading activities, regardless of the trading outcomes. However, JuCoin adopts a different strategy, committed to building an ecosystem that truly aligns with user interests. In the "Contract Guardian Program," if a user's net loss exceeds 500 USDT within a week, JuCoin will provide an equivalent JU computing power subsidy at a 1:1 ratio, with a maximum weekly subsidy of up to 50,000 JU computing power, effectively alleviating potential trading losses for users.

Facing Market Challenges, JuCoin Empowers Traders to Handle Volatility

In recent years, the cryptocurrency derivatives market has experienced significant growth, with trading volumes on major global exchanges reaching new highs. However, this expansion has brought ongoing challenges for individual traders, as market volatility and price unpredictability often lead to losses.

Recent market analysis indicates that contract trading inherently involves risks that all participants must face. Traditional exchanges often view these losses as a normal part of market operations, and even when providing basic educational resources to support affected traders, they often lack deeper response mechanisms.

JuCoin, on the other hand, has taken a differentiated approach, directly integrating financial support mechanisms into its trading infrastructure. During market downturns, this program will optimize the interaction between the exchange and the user community, demonstrating the platform's support for its users.

Implementation: Transparent, Convenient, and Sustained Value

The "Contract Guardian Program" operates through a simple three-step process designed to ensure easy user participation and transparency:

· Weekly Assessment Cycle

The system will assess the actual net profit and loss of the previous week every Monday at 00:00 (UTC+8). The assessment focuses solely on trading performance, excluding transaction fees and funding costs, to provide a more accurate performance measurement standard.

· Automatic Subsidy Distribution

When users incur qualifying losses, the system will automatically distribute JU computing power subsidies. This computing power can continuously generate token rewards within the broader JuCoin ecosystem. Participation in the program only requires KYC verification, with no holding or staking requirements, making it suitable for traders of all experience levels.

· Long-term Value Creation

The computing power subsidy model has significant advantages over direct token distribution. Users receive productive assets that can continuously generate returns, contributing to network operations while creating long-term benefits. This aligns the success of individual traders with the overall growth of the platform.

Technical Framework: On-chain Transparency Ensuring Sustainability

The loss protection system operates based on JuCoin's unique JuChain computing power framework. JU computing power represents a credential for participating in the JuChain node mining system. This deep integration connects the "Loss Protection Program" directly with JuCoin's Layer 1 blockchain infrastructure launched earlier this year.

The computing power obtained by users will participate daily in a mining release pool of 57,600 JU, allowing them to earn JU token rewards. All subsidy distributions and reward generation occur on-chain, ensuring high transparency. Smart contracts will automatically handle the entire distribution process without manual intervention, ensuring fairness and efficiency.

This system design ensures that subsidies become sustainably productive assets rather than one-time payments, providing ongoing value to affected traders while also contributing to the network's security and decentralization, building a stronger ecosystem.

Industry Background and Launch Details: Breaking Tradition, Setting New Examples

Most exchanges have historically focused on insurance models for security incidents such as hacking, with few platforms directly addressing user trading losses. In the derivatives trading field, it has traditionally been believed that trading outcomes are the personal responsibility of traders, with a clear distinction between platform operations and user profit and loss results.

However, JuCoin's model breaks the traditional paradigm, introducing direct financial support mechanisms that tightly bind platform resources to user trading experiences during market downturns.

JuCoin plans to continuously observe the impact of this program on trading behavior and user satisfaction as the system expands. Operating since 2013, JuCoin has accumulated over 50 million users globally, providing a solid and broad foundation for testing this innovative loss protection model.

About JuCoin

Founded in 2013, JuCoin began a brand transformation in 2025 and has now developed into a globally service-driven cryptocurrency exchange. Its comprehensive ecosystem includes the JuChain Layer 1 blockchain, JuChat social platform, JuGame entertainment system, JuOne smartphone, and JuCoin Labs innovation center. JuCoin's services cover over 30 countries and regions worldwide, with more than 50 million users, dedicated to building a comprehensive and inclusive crypto world.