Kamino takes Backpack Securities stock tokens as USDC collateral

On 28 October 2026, Kamino wrote that tokenized stocks from Backpack Securities are posted as collateral in the Backpack Market. Eligible holders can borrow USDC against them. Kamino attributes the 1:1 backing by U.S. shares to Backpack Securities.

Backing and custody

According to Backpack Securities, each token stands 1:1 for a share held against it. Redemption at that ratio runs through a deposit to an eligible Backpack account, under Backpack Securities’ terms.

Backpack Securities describes the underlying holdings as security entitlements under Article 8 of the New York Uniform Commercial Code. RQD Clearing, LLC and Atomic Vault Securities, LLC clear and custody them. Both firms are SEC-registered and members of FINRA and SIPC.

Backpack Securities says customer securities are kept apart from claims of the company’s creditors. Dividends are reinvested into more stock tokens and credited to the holder’s wallet. Splits and other corporate actions apply through a multiplier on the token mint.

Kamino does not issue the tokens. It does not sell them, custody them, or redeem them.

The protections Backpack Securities describes apply to the underlying shares. They do not cover tokens deposited on Kamino, smart-contract risk, or losses from liquidation.

An isolated credit market

The Backpack Market has its own parameters and its own reserves. Bad debt or a liquidity shortfall in another Kamino market stays in that market.

Each tokenized stock has its own loan-to-value ratio, its own liquidation rules, and its own borrow cap. The market manager sets those values from liquidity and oracle coverage.

Kamino’s disclaimer names Allez Labs as a market manager. Kamino does not set Allez Labs’ parameters and does not guarantee them.

In the announcement thread, Kamino names four tokens as collateral: Micron, SK Hynix, SpaceX, and SanDisk. The tickers are MU, SKHY, SPCX, and SNDK.

The market runs on-chain around the clock. Holders can deposit, borrow, repay, and withdraw at any time. Liquidation can still hit when the exchange for the underlying share is closed.

Kamino puts tokenized stocks supplied as collateral on the protocol at about $50 million as of October 2026. On that measure, Kamino calls itself the largest on-chain lending protocol for tokenized stocks.

The article says stock tokens from Backpack Securities have recorded more than $6 billion in cumulative on-chain trading volume since the June 2026 launch. The holder count is above 560,000.

Those figures come from Kamino’s article. They are not an independent audit.

Kamino expects more stock tokens as Backpack Securities adds assets.

Kamino’s disclaimer says a deposit is not a bank deposit and is not insured. Any targeted yield is not guaranteed. Deposited capital can be lost in part or in full.

Under Kamino’s terms, the market is unavailable in restricted jurisdictions.

What to watch

Which jurisdictions Kamino blocks
What LTV, liquidation, and borrow-cap levels apply to MU, SKHY, SPCX, and SNDK
When further Backpack Securities stock tokens join the market

Sources

Kamino — Article, “Backpack Securities and Kamino Expand Credit for Tokenized Equities”, 28 October 2026, 4:35 p.m. Berlin
Kamino — Announcement on X, 28 October 2026, 4:36 p.m. Berlin. The thread names MU, SKHY, SPCX, and SNDK.
Kamino — Backpack Market, linked from the article
Kamino — Terms of Service, linked from Kamino’s disclaimer
Backpack — User Agreement, cited in the article for terms and eligibility