Kamino Finance is a comprehensive DeFi powerhouse on Solana, combining automated concentrated liquidity management (CLMM) with lending/multiply (leveraged trading), long short positions, and dynamic vault strategies. Its core innovation lies in Auto Vaults that auto-compound fees, rebalance liquidity ranges, and boost capital efficiency—achieving multi-fold yield improvements while reducing impermanent loss risk. Kamino’s Multiply feature allows up to 5× 7.5× leverage with built in liquidation safeguards and robust risk modeling.
The KMNO token acts as the economic engine of the platform: used for staking to earn Kamino Points with up to 300% multiplier boosts, governance participation (e.g. fee and product parameter voting), and earning yield and point-based rewards. Half of protocol revenue is used for buybacks and burns (deflationary design). Token distribution aligns long-term incentives: community & grants (~35 %), stakeholders/advisors (~35 %), core contributors (~20 %), genesis allocation (~7.5 %), and treasury/liquidity (~10 %) with extended vesting schedules.