Kinetiq, a liquid staking protocol constructed round Hyperliquid’s HYPE token, has seen an explosion of inflows in latest weeks as customers pile in to farm the protocol’s airdrop factors marketing campaign.
Complete worth locked (TVL) on Kinetiq has jumped from roughly $458 million in mid-July to over $2.1 billion right now, in keeping with DefiLlama.
Whereas a part of the rise could be attributed to a 20% rise within the worth of HYPE over the identical interval, one other massive driver has been uncooked deposits. The quantity of HYPE staked has climbed from beneath 10 million tokens in July to almost 40 million now. Kinetiq’s factors program opened mid-July, underscoring that it’s driving exercise in its ecosystem.
The surge demonstrates the rising affect of Hyperliquid, which is quick changing into a DeFi heavyweight as liquidity, buying and selling exercise and staking demand migrate onto its ecosystem.
Factors packages particularly, the place protocols distribute future token allocations to early individuals, proceed to tug in yield-hungry crypto traders. By staking HYPE by Kinetiq, customers not solely earn commonplace staking rewards but in addition accumulate factors towards a possible Kinetiq token airdrop.
For a lot of DeFi merchants, that double yield alternative has confirmed irresistible, some have shared on X.
Learn extra: Native Markets Leads Early Voting for Hyperliquid’s USDH Stablecoin Contract
