1. Market Context & SOL Price
March experienced price consolidation within a low volatility range. SOL opened at $85, briefly rallied to $98 mid-month (March 16), then drifted lower to close at $82. The narrower trading range ($79-$98, a $19 spread) compared to February’s $68-$104 ($36 spread) reflects the calmer conditions.
Kamino closed March 31st 2026, with:
- Total Supply: $2.93B (+2.1%)
- Total Debt: $1.15B (+8.5%)
- SOL Price: $82 (-3.6%)
- Transaction Volume: $9.9B (+52%)
- Interest Paid: $4.6M (+7%)
- Liquidations: 551 (-99%)
- Collateral Seized: $0.61M (-98%)
- Avg Liquidation Size: $1,104 (+201%)
The supply growth reflects real capital inflows rather than price appreciation, given the modest SOL decline. Debt grew faster than supply (+8.5% vs +2.1%), pushing protocol-wide utilization higher. Interest revenue increased slightly (+7%) as higher utilization offset lower outstanding balances in some markets.
Transaction volume grew +52% to $9.9B despite fewer transactions (136,344 vs 320,721 in February). February’s count was inflated by 67,825 sub-$1K liquidation transactions. March’s volume reflects larger average transactions ($72K vs $20K), with balanced deposit/withdrawal activity, reflecting high net worth engagement.
Kamino Ecosystem Updates:
March saw targeted parameter expansions and new integrations:
- Solstice Integration: Kamino and Solstice announced an integrated offering with incentivized markets featuring 1% borrow rates, backed by $10M in Solstice delta-neutral yield strategies funding rewards for USDC suppliers and USX borrowers.
- OnRe Market Cap Increase: ONyc deposit cap raised from $50M to $75M, supporting the continued growth of OnRe’s reinsurance-backed yield product. OnRe crossed $100M in supply during March.
- xStocks Parameter Expansion: USDC supply cap raised to $20M and supply caps for SPYx, QQQx, TSLAx, NVDAx, GOOGLx, and MSTRx all doubled, enabling larger positions using tokenized equities as collateral.
- Orca Liquidity Vaults: Orca launched automated LP vaults powered by Kamino, with initial pairs including CASH-USDC, syrupUSDC-USDC, SOL-USDG, JITOSOL-SOL, and TRUMP-SOL.
- Galaxy Tokenized Equity: Galaxy (NASDAQ: GLXY) tokenized shares launched in the Superstate Market, joining FWDI and USCC as public equity collateral options.
2. Macro View: Liquidity by Category
Composition split (March 31 vs February 28):
| Category | Supply | Share | MoM Share | Debt | Debt Share | MoM Debt Share |
|---|---|---|---|---|---|---|
| Stablecoins | $1,104M | 37.7% | -1.8pp | $886M | 77.0% | +2.8pp |
| RWAs | $659M | 22.5% | +3.7pp | $0.1M | <0.1% | - |
| LSTs | $629M | 21.5% | +0.8pp | $1.9M | 0.2% | - |
| SOL | $294M | 10.0% | -0.4pp | $259M | 22.5% | -2.9pp |
| BTC | $163M | 5.6% | -2.2pp | $2.2M | 0.2% | +0.1pp |
| Other | $81M | 2.7% | -0.0pp | $0.9M | 0.1% | - |
The diversification trend continued. RWAs grew from 18.8% to 22.5% of supply, while BTC contracted from 7.8% to 5.6%. USD-denominated supply (stablecoins + RWAs) now represents 60.2% of protocol liquidity, up from 58.3% in February. Stablecoin debt share increased to 77.0%, reflecting growing borrow demand against stable denominated collateral.
Daily category trends show relative stability compared to February’s sharp step-downs. RWA supply grew steadily throughout the month, while stablecoins and SOL/LSTs remained flat. BTC supply declined gradually as cbBTC withdrawals occurred over multiple weeks.
Monthly supply changes by category:
Key category-level movements:
- RWAs: +22.1% ($540M to $659M). syrupUSDC led with +$61.2M (Maple credit market expansion), followed by PRIME +$22.5M, OnRe (ONyc) +$20.1M, PST +$7.2M, and tokenized equities (SPYx, TSLAx, etc.) +$12.5M combined. The RWA expansion is entirely driven by new token inflows.
- LSTs: +5.8% ($595M to $629M). dSOL led with +$36.3M, stkeSOL +$6.0M. This is a partial recovery from February’s -34.9% decline. In native token terms, LST supply growth was more pronounced since SOL depreciated.
- BTC: -27.7% ($225M to $163M). cbBTC withdrew -$73.5M (-34.3%), confirmed as physical token outflows since BTC price was flat at ~$67-68K through March. fBTC partially offset with +$3.6M. The destination of cbBTC outflows warrants monitoring.
- Stablecoins: -2.7% ($1,135M to $1,104M). USDC -$40.6M and CASH -$15.2M drove the decline. PYUSD grew +$35.6M as deposits rotated from Main Market to Maple. Stablecoin debt grew +12.6%, indicating increased borrowing activity against stable collateral.
- SOL: -1.3% ($298M to $294M). In SOL-denominated terms, native SOL supply was essentially flat given the -3.6% price decline, indicating minimal actual token outflows. SOL debt declined -3.7% as some leveraged positions were closed.
Asset-level flows:
Note: Per-asset figures reflect token quantity changes valued at current prices, isolating user deposit/withdrawal behavior.
Major Inflows:
- syrupUSDC: +$61.2M supply - Maple market expansion
- dSOL: +$36.3M supply - LST rotation toward dSOL
- PYUSD: +$35.6M supply - Supply migration from Main Market to Maple which offers higher returns
- PRIME: +$22.5M supply - Continued Prime market growth
- ONyc: +$20.1M supply - OnRe insurance market expansion
- PST: +$7.2M supply - Huma market growth
Major Outflows:
- cbBTC: -$73.5M supply - Physical token withdrawals (BTC price flat)
- USDC: -$40.6M supply - Rotation toward higher-yield venues
- CASH: -$15.2M supply - Continued contraction
- dfdvSOL: -$13.6M supply - LST deleveraging
- PT-eUSX-11MAR26: -$9.6M supply - Pendle PT token expired on March 11
3. Risk & Liquidations
Distance to Liquidation: Correlated vs Uncorrelated Positions
Uncorrelated positions (SOL/USDC, BTC/USDC, JLP/USDC):
| Risk Tier | DTL Range | Debt Volume | Share | Feb Debt | MoM |
|---|---|---|---|---|---|
| Critical | <5% | $1.6M | 0.2% | $2.6M | -38% |
| Warning | 5-10% | $16.0M | 2.4% | $46.3M | -65% |
| Elevated | 10-15% | $27.5M | 4.1% | $32.3M | -15% |
| Monitor | 15-25% | $132.6M | 19.8% | $111.1M | +19% |
| Safe | >25% | $491.5M | 73.4% | $552.3M | -11% |
Correlated positions (LST/SOL, RWA/stablecoin, stablecoin/stablecoin):
| Risk Tier | DTL Range | Debt Volume | Share | Feb Debt | MoM |
|---|---|---|---|---|---|
| Critical | <1.5% | $0.2M | 0.0% | $27.6M | -99% |
| Warning | 1.5-4% | $178.0M | 19.5% | $164.5M | +8% |
| Elevated | 4-7% | $341.7M | 37.4% | $224.8M | +52% |
| Monitor | 7-10% | $116.8M | 12.8% | $163.4M | -29% |
| Safe | >10% | $276.4M | 30.3% | $241.6M | +14% |
The risk profile improved notably in March. Uncorrelated Critical-tier debt fell from $2.6M to $1.6M (-38%), and Warning-tier dropped from $46.3M to $16.0M (-65%), as the February crash cleared the most vulnerable positions. Correlated Critical-tier normalized from $27.6M (driven by a single large JitoSOL/SOL position in February) to $0.2M.
The Elevated tier in correlated positions grew +52% ($225M to $342M), reflecting RWA markets (Prime, OnRe) where high-LTV parameters structurally concentrate positions in narrow DTL bands. This is by design rather than a risk concern.
Liquidation summary:
| Metric | March | February | MoM Change |
|---|---|---|---|
| Total events | 551 | 70,822 | -99% |
| Collateral seized | $0.61M | $26.0M | -98% |
| Debt repaid | $0.60M | $25.7M | -98% |
| Avg liquidation size | $1,104 | $367 | +201% |
March was the quietest month for liquidations since at least January 2026. The 551 events and $0.61M in collateral seized reflect a post-correction environment where vulnerable positions were already cleared in February. The higher average liquidation size ($1,104 vs $367) indicates that the remaining liquidations were individual position closures rather than the mass micro-liquidation events that characterized February.
March Liquidations by Collateral Type:
By collateral, SOL dominated at $394K seized (65%), followed by cbBTC at $80K (13%) and JLP at $76K (13%). The remaining 9% was distributed across mSOL, USDC, FARTCOIN, and other smaller assets. This pattern is consistent with a low-stress month where only the most leveraged uncorrelated positions (SOL/USDC, BTC/stablecoin) faced occasional margin calls.
Liquidation Volume by Size:
| Size Bucket | Events | Volume | Share | Avg Size |
|---|---|---|---|---|
| $10K-100K | 17 | $330K | 54% | $19K |
| $1K-10K | 80 | $217K | 36% | $2.7K |
| $0-1K | 454 | $62K | 10% | $136 |
No $100K+ liquidations occurred in March, a sharp contrast to February’s 29 events totaling $4.7M. The $10K-100K bucket accounted for the majority of volume (54%) from just 17 events. Sub-$1K events represented 82% of all liquidations but only 10% of volume.
Stress Testing:
The stress test reflects post-correction positioning as of March 31. With February’s fragile positions already liquidated and SOL trading in a narrow range, the protocol’s sensitivity to shallow drops has decreased.
Stress test scenarios (instantaneous shock, March 31):
| Scenario | Collateral at Risk | Debt Liquidated | Feb Collateral | MoM |
|---|---|---|---|---|
| 10% drop | $300M | $288M | $286M | +5% |
| 20% drop | $417M | $410M | $457M | -9% |
| 30% drop | $873M | $861M | $606M | +44% |
| 40% drop | $456M | $448M | $796M | -43% |
| 60% drop | $414M | $413M | $883M | -53% |
At a 10% instantaneous drop, $300M of collateral would be at risk (+5% vs February’s $286M), reflecting a slightly higher density of positions near the 10% threshold as the protocol grew. At deeper scenarios (40-60%), collateral at risk declined significantly (-43% to -53%), consistent with the healthier risk profile: February’s correction already cleared positions that would have been vulnerable at these levels.
The 30% scenario shows a pronounced spike to $873M, driven by RWA positions (PRIME $371M, syrupUSDC $279M) reaching their liquidation thresholds at this drawdown level. These positions operate at high LTV parameters (85%+ for PRIME), creating a cliff effect where a large concentration of correlated positions becomes liquidatable simultaneously. At -40% and beyond, the simulation has already processed these liquidations, leaving fewer remaining positions at risk. This cliff dynamic is a structural feature of the RWA growth: the protocol’s exposure to moderate drawdowns has increased as high-LTV RWA markets expanded.
Note: The stress test simulates sequential liquidation rounds. At each drawdown level, positions meeting liquidation criteria are processed. Subsequent levels reflect remaining positions after prior liquidations have been executed.
4. Per-Market Micro Analysis
Market-level trends:
The market landscape shifted notably in March. Maple emerged as the standout growth story, surging +55.5% to $407M, strengthening its position as the third-largest market. Main Market continued to contract (-9.6% to $1,473M) as capital migrated toward specialized markets offering higher yields.
Growing markets:
- Maple: $407M supply (+55.5%) / $148M debt (+47.2%) - The reversal from February’s -18.3% contraction was driven by PYUSD inflows (+$92M into Maple, of which $60M rotated out of Main Market and $32M was net new PYUSD supply) and continued syrupUSDC growth (+$62M). PYUSD APY in Maple (1.73%) exceeded Main Market (1.30%), driving the rotation.
- Prime: $626M supply (+8.9%) / $271M debt (+5.2%) - Steady growth continues, though at a slower pace than February’s +51.2%. PRIME remained the top inflow at +$22.5M.
- OnRe: $106M supply (+48.9%) / $34M debt (+55.2%) - Crossed the $100M milestone. ONyc (+$20.1M) drove the expansion with diversified stablecoin debt.
- xStocks: $25M supply (+99.2%) / $6M debt (+97.6%) - Nearly doubled from a small base as tokenized equity demand continued.
- Huma: $24M supply (+80.4%) / $8M debt (+51.9%) - PST collateral gaining traction.
Contracting markets:
- Main: $1,473M supply (-9.6%) / $590M debt (+4.4%) - Supply declined as PYUSD and USDC migrated to higher-yield markets, but debt grew (+4.4%), pushing utilization higher.
- JLP: $113M supply (-13.5%) / $35M debt (-9.7%) - Continued gradual contraction from February’s -55.6% crash.
- Jito: $47M supply (-23.0%) / $21M debt (-25.0%) - LST market declining alongside reduced JitoSOL deposits.
- Marinade: $10M supply (-36.3%) / $4M debt (-37.4%) - Continued migration away from smaller LST venues.
Market snapshot (March 31, 2026):
| Market | Supply | MoM | Debt | MoM | Util |
|---|---|---|---|---|---|
| Main | $1,473M | -9.6% | $590M | +4.4% | 40.1% |
| Prime | $626M | +8.9% | $271M | +5.2% | 43.2% |
| Maple | $407M | +55.5% | $148M | +47.2% | 36.3% |
| JLP | $113M | -13.5% | $35M | -9.7% | 31.2% |
| OnRe | $106M | +48.9% | $34M | +55.2% | 32.4% |
| Jito | $47M | -23.0% | $21M | -25.0% | 44.5% |
| Superstate | $45M | +0.7% | $17M | +0.3% | 37.8% |
| Solstice | $33M | -3.5% | $11M | +3.7% | 32.1% |
| xStocks | $25M | +99.2% | $6M | +97.6% | 22.2% |
| Huma | $24M | +80.4% | $8M | +51.9% | 34.3% |
Main Market share declined from 57% to 50% during March, continuing the structural trend toward isolated markets. The combined share of Prime, Maple, and OnRe grew from 32% to 39%.
5. Kamino Lending Vaults
Top vaults by deposits:
| Vault | Token | Deposits | MoM | APY |
|---|---|---|---|---|
| Sentora PYUSD | PYUSD | $410M | +9% | 1.7% |
| Steakhouse USDC | USDC | $60M | -18% | 3.2% |
| Allez USDC | USDC | $26M | +24% | 4.7% |
| CASH Earn | CASH | $24M | -11% | 5.3% |
| Rockaway RWA USDC | USDC | $14M | +133% | 4.8% |
| Elemental USDC Optimizer | USDC | $13M | +18% | 5.0% |
| Allez SOL | SOL | $7M | -13% | 4.1% |
Sentora PYUSD grew to $410M (+9%), consistent with the broader PYUSD expansion into Maple. The vault rebalanced its PYUSD allocation from Main Market to Maple on March 11, shifting from a 68/32 split to 47/53 in favor of Maple, where APY was higher (1.73% vs 1.30%).
Steakhouse USDC declined from $73M to $60M (-18%), continuing the post-Season 4 incentive contraction. Without the yield premium that sustained deposits at elevated levels, capital rotated toward higher-yielding alternatives. Allez USDC grew +24% to $26M with a competitive 4.7% APY.
Rockaway RWA USDC more than doubled to $14M (+133%) as the RWA-focused vault attracted depositors seeking diversified real-world yield across OnRe and Huma markets.
SOL vaults (Allez SOL at $7M, 4.1% APY) remained stable but smaller as the SOL lending market contracted alongside reduced leverage demand.
6. Transaction Volume & User Behavior
Total transaction volume rose +52% to $9.9B across 136,344 transactions. Despite the higher volume, transaction count fell -58% as February’s flood of micro-liquidation transactions (67,825 sub-$1K events) did not recur.
The Main Market generated 84% of all volume ($8.2B), followed by Prime at 8% ($0.8B) and Maple at 5% ($0.5B). Main Market’s volume share increased from 59% in February, reflecting the large deposit/withdrawal rotation flows (PYUSD migration to Maple, USDC rotation) that transited through the Main Market.
Volume breakdown by transaction type:
| Type | Volume | Share | MoM |
|---|---|---|---|
| Deposits | $4.21B | 43% | +81% |
| Withdrawals | $4.12B | 42% | +84% |
| Borrows | $0.80B | 8% | -5% |
| Repays | $0.72B | 7% | -24% |
Deposits and withdrawals dominated volume, reflecting active capital rotation across markets rather than leverage activity. The balanced deposit/withdrawal ratio indicates healthy market making and rebalancing rather than panic flows. Borrow and repay volumes declined as the leveraging/deleveraging cycle from February wound down.
Volume by transaction size:
| Size Bucket | Volume | Share | Transactions |
|---|---|---|---|
| $1M+ | $7.91B | 80.3% | 612 |
| $100K-1M | $1.36B | 13.8% | 4,363 |
| $10K-100K | $0.47B | 4.7% | 13,517 |
| $1K-10K | $0.10B | 1.0% | 27,375 |
| $0-1K | $0.02B | 0.2% | 90,477 |
The $1M+ bucket dominated at 80% of volume (up from 55% in February), driven by 612 whale transactions. The increase in whale share reflects the capital rotation dynamics: large vault rebalancing operations and institutional-scale deposit/withdrawal flows. Sub-$1K transactions represented 66% of all activity but only 0.2% of volume, consistent with retail activity continuing in the background.
7. Conclusions & Forward Look
February’s correction cleared the vulnerable positions; March records the lowest liquidation figures since August 2025. Critical and Warning DTL tiers fell 38-65% for uncorrelated positions and normalized to near-zero for correlated ones.
Supply grew +2.1% despite a small SOL decline.That capital went into RWAs (+22.1%) and their debt assets surpassed $1.25B. USD-denominated supply (stablecoins + RWAs) now sits at 60.2%, up from 58.3% in February, reducing the protocol’s direct sensitivity to SOL price.
Liquidity rotated within Kamino markets: PYUSD moved from Main Market to Maple (+$92M), syrupUSDC grew +$62M, and Main Market lost 7 percentage points of supply dominance (57% to 50%). Depositors are increasingly seeking yield beyond the Main Market, favoring specialized venues like Maple (credit), Prime (institutional), and OnRe (insurance). This trend indicates protocol resilience: diversified yield reduces concentration risk in any single market.
The cbBTC outflow (-$73.5M) stands out as the largest single-asset withdrawal, worth watching to understand if this reflects a temporary repositioning or a structural trend.
Outlook
Following several months of market corrections, Kamino has emerged with a significantly healthier risk profile. Overall leverage across the protocol has decreased meaningfully, while Debt-to-Liquidation (DTL) margins have widened, creating stronger safety buffers for participants.
Liquidity composition has also matured substantially. USD-denominated assets and Real World Assets (RWAs) now represent 60% of total protocol liquidity - a major structural shift from the near-total SOL dominance seen just one year ago.
Maple’s strong recovery, together with the continued growth of Prime, OnRe, and Huma, confirms these platforms are successfully meeting sustained market demand.RWA markets - USD-denominated and low-volatility by design - naturally operate on tighter margins. At the same time, tokenized yields from uncorrelated real-world businesses (lending, reinsurance, and similar ventures) are steadily drawing capital away from highly leveraged SOL positions. This diversification is strengthening the protocol’s long-term resilience.
Appendix: Asset Category Classification
This report uses a six-category framework to classify all tokens on Kamino Lend, consistent with the 2025 Annual Report and prior monthly reports. Position risk depends on whether collateral and debt are correlated (e.g., LST-borrows-SOL, RWA-borrows-stablecoin) or uncorrelated (e.g., SOL-borrows-USDC). Correlated positions carry lower liquidation risk by design and use tighter DTL thresholds (<1.5% for the Critical tier). Uncorrelated positions use broader thresholds (<5% critical) to account for directional price exposure.
Category Definitions & Constituent Assets (March 31, 2026):
| Category | Top Assets (by supply) | Mar Supply | Mar Debt | MoM Supply |
|---|---|---|---|---|
| Stablecoins | USDC, PYUSD, CASH, USDG, USDS, USDT, USX, EURC, sUSDe, UXD, USD1 | $1,104M | $886M | -2.7% |
| RWAs | syrupUSDC, PRIME, ONyc, USCC, PST, FWDI, sACRED, GLXY, eUSX, + tokenized stocks | $659M | $0.1M | +22.1% |
| LSTs | dSOL, JitoSOL, jupSOL, fwdSOL, mSOL, bSOL, stkeSOL, hSOL, cgntSOL, + others | $629M | $1.9M | +5.8% |
| SOL | SOL (native) | $294M | $259M | -1.3% |
| BTC | cbBTC, xBTC, fBTC, WBTC, LBTC, ZBTC, tBTC | $163M | $2.2M | -27.7% |
| Other | JLP, FLP, ALP, ETH, WIF, GOAT, POPCAT, FARTCOIN, BONK, JTO, JUP, PENGU, KMNO, + others | $81M | $0.9M | +3.3% |
Classification Notes:
- LSTs include all liquid staking tokens (any token ending in “SOL” other than SOL itself, plus INF). Pendle PT tokens wrapping SOL-based assets are also classified as LSTs.
- RWAs include tokenized real-world assets (PRIME, syrupUSDC, ONyc, PST, FWDI, sACRED, GLXY, USCC, eUSX), tokenized equities (xStocks market tokens), and Pendle PT tokens wrapping RWA underlyings.
- Stablecoins include fiat-pegged tokens used as lending/borrowing primitives. RWA debt is near-zero because RWA tokens serve as collateral; the associated borrowing appears in the Stablecoins category.
- BTC is separated from “Other” because bitcoin-backed collateral carries distinct risk characteristics.
- Other is a catch-all for assets with mixed or idiosyncratic profiles. JLP dominates this category.
This report represents independent risk analysis by Allez Labs for the Kamino Finance community. Analysis reflects protocol performance through March 31, 2026.
Prepared by: Allez Labs Risk Team
Report Date: April 8, 2026
Next Report: April 2026 Monthly Report published in May 2026