KETJU Research

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stable-lending

Kava Mint

Rejected
Max sleeve
Reviewed
2026-08-15 · v1
Next review
2026-11-15
Chains
Kava

Rejected venues wait the longest for re-review; a rejection has to earn another look before the scheduled date.

Kava Mint is the collateralized debt position system on the Kava chain: users lock crypto collateral and mint the USDX stablecoin against it. It held $9.9 million across six pools at the 2026-08-14 survey. The registry rejects it on size: one practice advising 100 households moves $1M to $8M into a venue on the same research, and below $100M TVL that book becomes the exit crush. Size alone decides it, whatever the protocol’s quality. A review at size would also depend on the standing of Kava itself in the chain registry.

The research file

Applicability to the surveyed record

Kava Mint is implemented by Kava’s CDP module: a user locks one supported collateral type, mints a USD-pegged asset up to a collateral fraction, and must return and burn that debt to release collateral. That establishes the surveyed record as a collateralized-debt venue subject to the below-materiality dossier.

Current observation and perimeter

The DefiLlama API read on 2026-08-15 classified Kava Mint as a CDP on Kava and reported approximately $9.85M TVL. The single-chain footprint remains far below the shared v1 $100M threshold and remains conditional on Kava chain eligibility.

Control and exit applicability

Governance can change enabled collateral, price-feed identifiers, liquidation ratios, stability fees and debt ceilings. Collateral can be withdrawn only while the CDP remains above its liquidation ratio or after debt and fees are repaid; undercollateralized positions are seized and auctioned, price-feed failure can suspend withdrawals, and unrecovered system debt can trigger governance-token debt auctions.

Why the class rule decides

The shared v1 below-materiality dossier controls. Reopen only after TVL sustains at least $100M for 30 days and Kava is eligible, then review USDX peg and liquidity, each collateral and oracle, governance and emergency authority, parameters and debt ceilings, audits and incidents, liquidation and auction performance, system bad debt, collateral exit under stress, and named CDP alternatives.

Sources

The claims above trace to these. Where a number could not be independently verified, the thesis says so.

Inherited controls

The verdict above grades the protocol layer. Every position also inherits the asset it holds and the chain it settles on. The least safe layer sets the position’s grade, and the position table names which one that is.

ChainVerdictGradeControl constraint
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