Kamino Finance, a leading DeFi platform on Solana, just dropped their monthly recap for September 2025, and it's packed with exciting updates. If you're into blockchain lending or trading memes on Solana, this is worth a read. The team shared the highlights in a tweet, showcasing how they're pushing the boundaries in decentralized finance.

Let's break it down step by step, explaining the key points in simple terms so even if you're new to DeFi, you can follow along.

Lending Vaults Hit New Heights

Kamino's lending vaults – basically pools where users deposit crypto to earn interest while others borrow it – reached an all-time high (ATH) of $600 million in deposits. Since starting, these vaults have generated a whopping $3 million in pure interest. That's real yield for depositors, no gimmicks.

On the borrowing side, active loans surged to $1.7 billion, with USDC borrows crossing $500 million for the first time. USDC is a stablecoin pegged to the US dollar, making it a go-to for low-volatility borrowing in DeFi.

Smarter Liquidations and Cost Savings

One big improvement: Kamino slashed liquidation penalties by 90%. In DeFi, liquidation happens when a borrower's collateral value drops too low, forcing a sale to repay the loan. Lower penalties mean less pain for borrowers and better capital efficiency – your money works harder without as much risk of big losses.

PYUSD Campaign Takes Off

The PYUSD campaign, tied to PayPal's stablecoin on Solana, became one of the blockchain's biggest stablecoin launches. It hit $400 million in total value locked (TVL), which measures how much crypto is staked or deposited in the protocol. Kamino distributed $2.4 million in monthly rewards to users, incentivizing participation and boosting liquidity.

Integrations and New Features

Kamino partnered with Maple Finance to push their market past $100 million TVL. They also launched SyrupUSDC Multiply Backtesting, a tool that lets users simulate trading strategies using real historical data. This is huge for traders testing ideas without risking real funds.

On the swap front, Kamino added Cabana Wave and Settler to their aggregator. A swap aggregator finds the best prices across multiple DEXes (decentralized exchanges) for trading tokens – think of it as a smart router for your crypto swaps, ensuring you get the best deal on Solana.

Security First

Security is paramount in DeFi, and Kamino stepped up. They completed a fuzzing analysis with Ackee Blockchain, a technique that stress-tests code for vulnerabilities. Plus, they launched a dedicated Security Page, outlining their full stack of audits and verifications. This transparency builds trust, especially for users handling large sums.

Phantom Partnership Goes Live

Wrapping up the month, Kamino integrated with Phantom Wallet, a popular Solana wallet. This includes $CASH token support, $500,000 in user incentives, and onboarding pSOL (Phantom's liquid staking token). Liquid staking lets you earn rewards on staked SOL while keeping it liquid for other uses – a win for flexibility in the ecosystem.

Overall, September solidified Kamino's position as a trusted hub for credit on Solana. With meme tokens thriving on the network, tools like these make it easier for everyone to participate securely. If you're looking to dive deeper into Solana DeFi or meme trading strategies, keep an eye on Kamino – they're clearly on a roll.