KernelDAO December 2025 Recap 🍿

✦ Ecosystem growth

⍛ E-Mode unlocked for wrsETH <> WETH on Aave v3 #Base market, enabling higher LTV and more capital-efficient looping on Base.

⍛ wrsETH supply caps on Aave v3 $INK market filled rapidly, with current supply exceeding $42M.

⍛ On Aave v3 $AVAX , rsETH reached $60M TVL, fully utilizing the 20k ETH supply cap.

⍛ Kernel Points and Programmatic EIGEN rewards were strategically reallocated across protocols as Season 4 progresses.

✦ KernelDAO product & research

⍛ KUSD as Leap for $KERNEL: Positioned Kred as a new pillar of the ecosystem, expanding into real-world credit, payments, and settlement - reducing reliance on crypto cycles by anchoring to the $200T global payments market.

⍛ Kred’s Christmas Gifts: Outlined fixes for structural issues in global finance, including pre-funding ($9–11T locked idle), settlement delays, frozen capital, FX risk, and year-end liquidity crunches - unlocking just-in-time liquidity and productive stablecoins.

✦ Gain vaults performance

⍛ High Gain (hgETH) remained the #1 ETH vault for 4 consecutive months, delivering 10-14% rewards through market volatility.

⍛ Airdrop Gain (agETH) delivered ~10% weekly rewards, with $40M+ TVL, powered by institutional strategies from K3 Capital and August Digital.

⍛ Stable Gain (sbUSD) crossed the $10M TVL milestone, delivering a ~13% reward rate via UltraYield’s risk-adjusted strategies.

December was a month of quiet, steady progress - deeper integrations, stronger liquidity, and continued momentum toward the Internet of Credit.

Stay tuned for what’s next.