The Solana-based protocol Kamino Finance is looking to boost its users’ profitability with a new swap feature.
The team behind Kamino, the largest decentralized exchange on Solana, has announced the launch of a new feature, Kamino Swap. This new feature is designed to provide the best price execution at any size for every token swap on Solana.
Kamino Swap Now In Beta Testing
Kamino Swap, already in beta testing, aims to solve challenges like network congestion, account lock limits, and slippage in the Solana exchange ecosystem. With its product, the protocol plans to add more utility to the Solana ecosystem dominated by memecoins.
The team describes Kamino Swap as an “intents-based” platform with a relatively new design in Decentralized Exchanges (DEXs). The platform will allow users to request specific app interactions, such as bank transfers or trade executions.
Kamino Swap will leverage real-time data provider Pyth Network to provide the lowest pricing and fees for any Solana-based asset for both liquidators and traders. The platform was originally designed to boost Kamino Lend’s efficiency and profitability.
The team needed to create a more competitive limit order venue that enables liquidators to earn more while borrowers lose less. Under the old paradigm, liquidators required costly special codes and incentives to be onboarded, which increased costs.
With Kamino Limit Orders, Solana users can place orders and receive more than their asking rate. Simply put, Kamino Limit Orders broadcasts every trade to a network of searchers via Pyth Express Relay. This replaces connecting into a DEX or DEX aggregator, subject to liquidity circumstances, protocol fees, and MEV.
Searchers are a network of sophisticated market participants who seek out arbitrage opportunities across the crypto landscape. Upon broadcasting a swap, an auction takes place where searchers compete to fill the transaction. The searcher who wins the auction provides the best execution price and the biggest tip.
The Kamino’s Limit Order product changes the game by allowing users to outbid each other to win the trade. Thus, the user gets the best price for their swap. The beta version starts with SOL $104.5 24h volatility: 5.1% Market cap: $53.91 B Vol. 24h: $6.72 B and USDC $1.00 24h volatility: 0.0% Market cap: $60.24 B Vol. 24h: $19.76 B , with plans to include more tokens.
Kamino Finance Expands Lending Capital
The launch of the Kamino Swap feature comes only shortly after the platform raised the worldwide borrowing cap for global PYUSD to $20 million. This decision to raise the limit coincides with the growing demand for lending services within the Decentralized Finance (DeFi) ecosystem.
The exchange said it aims to improve its PYUSD lending prospects in the Ethena Labs market. To achieve this, Kamino kept the borrowing rate at a competitive 2.07% while doubling the market borrowing maximum to $10 million.
The move demonstrates the platform’s appetite for growth and commitment to meeting the rising demand for lending solutions in the DeFi industry. Kamino has achieved this feat without sacrificing stability and reliability.
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