Summary
- The fallout from the KelpDAO hack has spread DeFi capital outflows from Ethereum to Solana.
- In Kamino's USDC market on Solana, APY and utilization have surged, triggering a liquidity squeeze.
- Kamino's Prime Market USDC reserve has reached 100%% utilization, exhausting available liquidity and driving a surge in borrowing rates and greater volatility.
Forecast Trend Report by Period
Capital outflows from decentralized finance triggered by the KelpDAO hack are spreading beyond Ethereum-based networks into the Solana ecosystem.
Wu Blockchain reported on April 20 that Solana lending protocol Kamino is showing signs of a liquidity squeeze in its USDC market, with deposit APY and utilization rates surging.
Kamino's Prime Market USDC reserve, worth about $178 million, has reached 100% utilization, exhausting all available liquidity. Utilization at other major vaults also topped 95%, including the Stakehouse USDC vault and RockawayX RWA USDC.
The trend suggests that fund shifts and risk-off moves seen across the broader DeFi market after the KelpDAO rsETH hack have spread to Solana. As liquidity is depleted rapidly, borrowing rates are jumping and market volatility is increasing.
Suehyeon Lee
shlee@bloomingbit.ioI'm reporter Suehyeon Lee, your Web3 Moderator.
