Kinetiq — FAQ

Kinetiq is a liquid staking protocol purpose-built for the Hyperliquid network. It allows users to stake HYPE — the native token of the Hyperliquid blockchain — and receive kHYPE in return. kHYPE is a reward-accruing liquid staking token that automatically accumulates staking rewards over time, while remaining freely transferable and usable across DeFi protocols on HyperEVM. Kinetiq also offers Kinetiq Earn (vkHYPE), an additional yield layer powered by Veda that deploys kHYPE into curated DeFi strategies to generate further returns. Learn more about Kinetiq

kHYPE is the liquid staking token issued by Kinetiq when you deposit HYPE into the protocol. The exchange rate between kHYPE and HYPE increases over time as staking rewards are distributed — meaning each kHYPE becomes worth more HYPE as time passes.

This rebasing mechanism means you never need to claim rewards manually. Simply holding kHYPE in any wallet or protocol that supports it is sufficient to earn staking yield.

kHYPE can be used as collateral, supplied to lending markets, traded on DEXes, or deposited into yield vaults — all while continuing to earn base staking rewards from the Hyperliquid validator set.

The Kinetiq protocol stakes HYPE with a curated set of validators on the Hyperliquid network. These validators earn block rewards which are periodically harvested and reflected in the kHYPE/HYPE exchange rate.

As staking rewards accumulate, the exchange rate increases: for example, if the rate starts at 1 kHYPE = 1 HYPE, after a year of 2.37% APY it becomes 1 kHYPE ≈ 1.024 HYPE. Your kHYPE balance stays the same but its redemption value grows.

The current APY is displayed on the Kinetiq staking dashboard and is based on actual historical rewards distributed by Hyperliquid validators.

vkHYPE is the vault token for Kinetiq Earn, an additional yield layer built on top of kHYPE. It is powered by Veda and deploys your kHYPE across a diversified set of DeFi strategies including lending markets, DEX liquidity, and yield optimizers.

By depositing kHYPE into the Kinetiq Earn vault, you receive vkHYPE which accrues both the base kHYPE staking yield (currently ~2.37% APY) plus additional DeFi yield (bringing total APY to ~3.04% or more).

Active strategies include positions on Hyperlend, Project X, Felix, and Pendle. A 20% performance fee applies to profits generated by Earn strategies.

Note: Kinetiq Earn is not available to persons or citizens of the United States and other restricted jurisdictions. See the Terms of Use for details.

There are two ways to exit your kHYPE position:

Instant swap: Use a DEX such as Project X, Hyperswap, Curve, or Pendle to swap kHYPE for HYPE or WHYPE immediately. This is the fastest option but may incur a small price impact depending on available liquidity.

Native unstake: Use the Kinetiq protocol's native unstake feature to redeem kHYPE for HYPE at the exact protocol exchange rate. This route is subject to the Hyperliquid network's unbonding period before funds are available.

Both options are accessible from the Kinetiq staking dashboard. The Swap method shown in the UI automatically routes through the best available DEX liquidity.

As with all DeFi protocols, using Kinetiq involves risks. The main risks to consider are:

Smart contract risk: The Kinetiq smart contracts on HyperEVM have been audited, but no audit guarantees complete security. A contract exploit could result in loss of funds.

Validator risk: Hyperliquid validators may be slashed for misbehavior, which could reduce the kHYPE/HYPE exchange rate. Kinetiq selects validators to minimize this risk.

Liquidity risk: If you need to exit via a DEX swap, there is a risk of unfavorable pricing or limited liquidity in kHYPE trading pairs.

Third-party risk (vkHYPE): The Kinetiq Earn vault interacts with external DeFi protocols. Each protocol introduces additional smart contract and operational risks.

Always do your own research and only invest what you can afford to lose. Review the full Terms of Use and audit reports before using Kinetiq.

The Kinetiq kHYPE ecosystem is one of the most widely integrated liquid staking tokens on Hyperliquid. Supported protocols include:

Lending: Hyperlend ($215M+ TVL), Felix, HypurrFi, Sentiment — use kHYPE as collateral to borrow other assets or earn supply yield.

Yield & Structured Products: Pendle (37%+ APY on yield trading), Harmonix (3.2% APY), Hybra (88% APR), Kinetiq Earn via Veda (vkHYPE).

DEX Liquidity: Project X ($11M+ TVL), Ultrasolid (191%+ APR), Curve, Hyperswap, Ramses — provide liquidity in kHYPE/HYPE or kHYPE/WHYPE pairs.

The full kHYPE ecosystem table is available on the main Kinetiq page.

Getting started with Kinetiq is straightforward:

Step 1 — Get HYPE: Acquire HYPE tokens on the Hyperliquid exchange or bridge them to HyperEVM from another network.

Step 2 — Connect your wallet: Visit https://kinetiq-xyz.my and connect a compatible wallet such as MetaMask, Rabby, or any WalletConnect-compatible wallet configured for HyperEVM.

Step 3 — Stake HYPE: Enter the amount of HYPE you wish to stake. Choose the "Stake" method to mint kHYPE directly at the protocol exchange rate, or "Swap" to use DEX routing.

Step 4 (optional) — Earn more: Deposit your kHYPE into the Kinetiq Earn vault to receive vkHYPE and access additional DeFi yield strategies, or deploy kHYPE across the wider ecosystem.

Always ensure you are on the official Kinetiq domain and verify contract addresses from the official docs before transacting.

KNTQ is the governance and utility token of the Kinetiq protocol. It is designed to align the interests of the community with the long-term development of the Kinetiq ecosystem.

KNTQ holders may participate in governance decisions, earn protocol revenue distributions, and access exclusive benefits within the Kinetiq product suite.

Full details about KNTQ tokenomics, distribution, and governance rights are available on the Kinetiq KNTQ page.

Kinetiq delegates staked HYPE to a carefully curated set of Hyperliquid validators. The selection criteria include uptime performance, security practices, commission rates, and geographic distribution to reduce correlated failure risk.

The Kinetiq validator selection is reviewed regularly to ensure optimal performance and network security. Users can review current validator allocations on the Validators page.

By distributing stake across multiple validators, Kinetiq reduces the impact of any single validator going offline or being slashed on the overall kHYPE exchange rate.