Kamino opens Backpack equity collateral market
On October 28, 2026, Kamino opened the Backpack Market on Solana, allowing eligible holders to borrow $USDC against tokenized equities from Backpack Securities.
The new market enables borrowers to pledge tokenized shares of major technology companies as collateral for USDC loans. Kamino reported approximately $50 million in tokenized equities had been supplied to its lending protocol as of October 2026, though this figure represents the broader equity collateral across Kamino rather than specifically for the new Backpack Market.
Isolated risk parameters
The Backpack Market operates with its own reserves and risk settings, completely isolated from other Kamino markets. This means bad debt or liquidity shortfalls in other parts of the protocol won't affect the equity collateral market. Each listed equity—initially Micron ($MU), SK Hynix ($SKHY), SpaceX ($SPCX), and SanDisk ($SNDK)—has separate loan-to-value, liquidation, and borrow-cap parameters determined by Allez Labs.
Continuous lending despite market closures
Users can deposit, borrow, repay, and withdraw assets around the clock, though equity price updates follow U.S. trading sessions. During market closures—including weekends and U.S. holidays—the oracle maintains the last published price until trading resumes. Importantly, lending operations continue through these closures, with the collateral price feed waiting for the underlying market to reopen.
Kamino warns that borrowers face liquidation risk even when underlying share markets are closed. The oracle's use of the last published price during closures provides no assurance that loans will be protected from liquidation while share trading is halted.
Token backing and redemption complexities
The tokenized equities are backed 1:1 by underlying shares held as security entitlements under New York UCC Article 8. RQD Clearing, LLC and Atomic Vault Securities, LLC clear and custody these securities, both being SEC-registered, FINRA members, and SIPC participants. Dividends are reinvested into additional tokenized shares and credited to holders' wallets.
Redemption requires depositing tokens into an eligible Backpack account, where they can be redeemed 1:1 for corresponding shares. However, significant restrictions apply. Token holders must appear in the issuer's internal beneficiary register and satisfy KYC requirements to exercise rights. Transferring tokens to self-hosted wallets doesn't automatically confer beneficiary status.
The issuer, Trek Nexus Markets Ltd, makes no commitment to maintain a secondary market or ensure token liquidity. Trading venues may be limited or absent, and liquidity can substantially diminish or disappear. The issuer disclaims responsibility for operational, regulatory, technological, or fraud losses through third-party services.
Eligibility and limitations
Tokens may not be offered or sold to U.S. citizens, residents, or entities. Jurisdictions where holding or transfer requires registration or is prohibited are also excluded. Kamino emphasizes access for eligible holders rather than unrestricted access to the underlying equities.
Kamino expects to add more tokenized equities as Backpack expands its supported assets, though no further collateral tokens or listing dates have been announced at launch.
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