Kamino Liquidity
Moderate risk — strong Solana DeFi infrastructure with clean track record, but automated rebalancing can crystallize impermanent losses during market stress
Top Risks
1
Automated rebalancing during volatile markets can lock in impermanent loss by selling the appreciating asset at the worst time
2
Concentrated liquidity positions go idle when price moves outside the range, earning zero fees until rebalanced
3
Dependency on underlying DEX smart contracts (Orca Whirlpools, Raydium CLMM) compounds smart contract risk
Risk Breakdown
Frequently Asked Questions
Is Kamino Liquidity safe to use?
Kamino Liquidity receives a B risk grade (25/100) from Hindenrank, where lower scores indicate lower risk. Moderate risk — strong Solana DeFi infrastructure with clean track record, but automated rebalancing can crystallize impermanent losses during market stress Kamino Liquidity is an automated vault system on Solana that manages concentrated liquidity positions for you on DEXs like Orca and Raydium. Instead of manually setting price ranges and rebalancing, Kamino's vaults do it automatically with configurable risk profiles. With $223M in deposits and zero exploit history, it earns a B grade. The main risk is that automated rebalancing can lock in losses during crashes by selling at the worst time.
What are the main risks of using Kamino Liquidity?
The key risks identified for Kamino Liquidity are: (1) When prices crash, the automated rebalancer sells your stablecoins to buy the dropping token. This crystallizes impermanent loss that might have been temporary if you just held (2) Your funds are not just in Kamino; they sit inside Orca or Raydium pools. If those underlying DEXs get hacked, your Kamino vault deposits are lost too (3) During extreme volatility, your position can go out of range and earn zero fees while Kamino scrambles to rebalance, leaving you exposed to losses without any fee income
What is Kamino Liquidity's risk score breakdown?
Kamino Liquidity scores 25/100 across eight risk dimensions: Mechanism Novelty: 4/15, Interaction Severity: 6/20, Oracle Surface: 3/10, Documentation Gaps: 1/10, Track Record: 0/15, Scale Exposure: 5/10, Regulatory Risk: 3/10, Vitality Risk: 3/10. The highest risk area is Scale Exposure at 5/10.
How does Kamino Liquidity compare to other Yield protocols?
Among 112 rated Yield protocols on Hindenrank, Kamino Liquidity ranks #6 by safety (lowest risk score = safest). Its 25/100 risk score and B grade place it among the safer Yield protocols.
Has Kamino Liquidity ever been hacked or exploited?
Kamino Liquidity scores 0/15 on the Track Record risk dimension, indicating no significant exploits or security incidents in its history. However, past performance does not guarantee future security.
Last scanned 2026-02-17