Major Debacle in the Solana Ecosystem: Jupiter Lend's "Independent Vaults" Turn Out to Be Siamese Twins

[BlockBeats] The Solana ecosystem has been in an uproar recently—Jupiter Lend’s promise of “complete vault isolation” was publicly debunked.

Fluid’s co-founder Samyak Jain openly admitted: in pursuit of capital efficiency, they implemented re-staking, and the assets in each vault were never truly isolated. The community was not having it, and criticism erupted.

Kamino co-founder Marius went even further and directly shut down Jup Lend’s migration tool this week. His reasoning was blunt: “Users have been misled and have no real understanding of the protocol’s design risks.”

Marius also exposed an even bigger issue—Jupiter Lend had always claimed that different vaults were “unaffected by each other.” Nonsense. In reality, if you deposit SOL and borrow USDC, your SOL can be lent out to accounts engaging in looping strategies, including things like JupSOL and INF. If these looped loans collapse or the assets blow up, you’re the one left holding the bag.

In short, users thought their assets were sitting in independent safes, only to find out those safes are connected—if someone else gets burned, you go down with them. This kind of design isn’t new in DeFi, but outright telling users there’s “complete isolation” is another matter.

The Solana community is furious right now—after all, no one wants their principal to pay for someone else’s leverage.