Solana News Today: Jito Labs Proposes Block Assembly Marketplace for Solana to Enhance Privacy and Execution

Jito Labs has introduced a proposal for a Block Assembly Marketplace (BAM), a transaction-sequencing system designed to enable developers to run central-limit order books, perpetual exchanges, and dark pools on Solana without altering the base protocol. This system aims to enhance privacy and auditability within a single pipeline.

The BAM design includes a network of BAM Nodes that operate alongside the existing validator set. These nodes order encrypted transactions within Trusted Execution Environments and forward them to the leader with cryptographic attestations of sequence integrity. BAM Validators, running an updated Jito-Solana client, execute the ordered bundle and return proofs that they have followed the instructions.

The proposal outlines three technical goals: maintaining order privacy until execution to mitigate harmful MEV, creating a public audit trail of every ordered bundle, and providing applications with direct access to scheduling logic through Plugins. Each plugin can inject or reorder instructions inside the enclave, enabling application-controlled execution for various use cases such as “just-in-time” oracle updates or priority cancel-replace flows for market makers.

According to the roadmap, a revenue split channels plugin fees to node operators, validators, stakers, and the Jito DAO. Jito will initially operate the first BAM Nodes while an alpha validator cohort, consisting of Triton One, SOL Strategies, Figment, Helius, and others, tests the client. The plan seeks a “high single-digit” percentage of delegated stake shortly after launch, increasing to 30% or more as additional node operators join. Jito aims to open-source the code and reach 50 geographically distributed nodes before handing governance to the DAO.

Jito argues that BAM offers institutions deterministic execution and verifiable privacy, two requirements often cited by high-frequency traders. By allowing custom sequencing without private mempools or off-chain deals, the system could attract order flow that now migrates to centralized venues. The firm added that Solana’s existing throughput positions the chain to act as a decentralized Nasdaq once plugins for perpetuals and dark pools arrive.

Jito Labs intends to submit a governance proposal directing all BAM and block-engine fees to the Jito DAO treasury while the company continues technical maintenance. The approach would shift value capture from MEV extraction to fee-sharing for scheduling services. The Block Assembly Marketplace plan now awaits feedback from validators, developers, and token holders before the code moves into production testing.