Solana Lending Protocol Kamino Faces Criticism Over Loan Transfer Restrictions

According to ChainCatcher, Solana's lending protocol Kamino is under scrutiny for blocking users from transferring loans through Jupiter Lend's refinancing tool. Kamino has manually blacklisted the on-chain address of Jupiter Lend's newly launched Refinance tool, preventing users from closing positions via this address. Kash Dhanda, a core contributor to Jupiter, expressed dissatisfaction on X. Samyak Jain, co-founder of the DeFi liquidity protocol Fluid, highlighted that Kamino has implemented a mechanism to lock users in, preventing them from moving to platforms offering higher returns. Data from DefiLlama indicates that the total value locked (TVL) in Solana's lending market is approximately $3.7 billion, with Kamino holding over 60% of the market share. However, Kamino's TVL has dropped from $3.71 billion at the beginning of October to $2.33 billion, marking a nearly 30% decline over two months. As of the time of reporting, neither party has publicly responded to the issue.