With Bitcoin and Ethereum climbing, Katana is the new key to capitalising on the rally
With an architecture focused on real yield, deep liquidity, and institutional participation, Katana is launching a new chapter for decentralized finance. It introduces innovations like VaultBridge, a native stablecoin (AUSD), and chain-owned liquidity. Developed by the Katana Foundation and supported by strategic partners such as Conduit, Chainlink, and Blockworks, Katana is set to transform the DeFi experience for all types of users.
May 28, 2025 — The Katana Foundation, a nonprofit entity aiming to deliver a cutting-edge DeFi experience, has announced the private mainnet launch of Katana, a blockchain specifically designed to maximize digital asset efficiency through higher yields and centralized liquidity. Departing from today’s fragmented landscape, Katana concentrates activity in a core of integrated protocols and redirects yield toward a self-sustaining DeFi ecosystem.
Users can currently make pre-deposits of assets like ETH, USDC, USDT, and WBTC, thereby participating in a reward program via KAT, the new native token. The public launch is expected in June.
The platform has been incubated by GSR and Polygon Labs, and its development has been supported by partners such as Conduit, a rollup provider managing over $4 billion in total value locked (TVL); Chainlink, the leading provider of decentralized oracle solutions; and Blockworks, a crypto and data analytics media outlet.
DeFi for Everyone
Katana is designed for all users, from individuals and experienced traders to large institutional investors. In an environment where DeFi represents a growing share of blockchain activity, Katana delivers more attractive yields and a modular structure for building advanced strategies. The ecosystem’s architecture combines various DeFi applications (“DeFi Legos”) in a coherent, optimized setting.
Its core premise is to put every asset to work, eliminating inefficiencies and unlocking value through a system that prioritizes sustainable yield.
DeFi Maturity Demands Stronger Solutions
As DeFi matures and gains institutional traction, challenges remain: fragmented liquidity, high volatility in lending rates, and value loss through intermediate layers. Katana addresses these by concentrating liquidity and reducing slippage, while stabilizing interest rates across loans and credits.
In addition to providing liquidity and cross-chain support, GSR plays an active role in incubating new protocols through its investment division. Polygon Labs has provided technical and strategic support, integrating Katana into its Agglayer Breakout Program.
“It’s not just about deploying capital, it’s about building structures that deliver long-term value,” said Jakob Palmstierna, President of GSR. “Katana shows how the DeFi experience can be transformed when the right incentives are at the center,” added Marc Boiron, CEO of Polygon Labs.
Technology for Real Yield
Katana is built on the cdk-opgeth stack, based on OP Stack, and connects through Agglayer to ensure security via ZK proofs. These proofs, generated by Succinct’s SP1 prover using Polygon’s Plonky3 system, offer a unique blend of speed and robustness. Transaction processing is handled by Conduit’s high-performance G2 Sequencer.
Liquidity Consolidation: The Ecosystem Core
Katana delivers a more efficient DeFi experience by concentrating liquidity within a curated selection of protocols:
- Morpho for optimized lending and borrowing
- Sushi as a DEX for high-liquidity spot trading
- Vertex for perpetual futures with capital efficiency
On this foundation, countless new applications can be built, inheriting the advantages of a deeper and more unified environment. The platform also promotes the consolidation of similar assets, such as stablecoins and major crypto assets (BTC, ETH), to further deepen market liquidity.
Key players in the asset and stablecoin space on Katana include:
- Agora, issuer of the native stablecoin AUSD
- Lombard, with LBTC, a liquid yield-bearing version of BTC
- Ether.Fi, provider of weETH, a wrapped ETH variant with staking rewards
- BitVault, specialized in BTC-backed financial products
Through the Universal Protocol, Katana will also have access to blue-chip assets like XRP, SOL, and SUI, even if they are not natively available. By combining liquid, yield-bearing versions of these assets, users can trade without leaving Katana and unlock enhanced returns via advanced yield farming and arbitrage strategies.
Five Engines for Sustainable Yield
Katana redefines how yield is generated and distributed within the DeFi ecosystem by relying on five core pillars:
- VaultBridge
Bridged assets from Ethereum continue to earn yield on their origin chain, and that yield is transferred to users on Katana. - Network Fees
A portion of network fees and application-generated revenue is reinvested in the ecosystem to incentivize users and reinforce liquidity. - AUSD Revenue
Unlike other stablecoins, AUSD shares treasury revenue with Katana users, enhancing overall returns. - Core Application Emissions
Base protocol token emissions are directed toward usage incentives and loyalty, strengthening the ecosystem. - KAT Emissions
With KAT’s launch, users gain governance power over how future emissions are distributed, ensuring incentives align with those contributing real value.
As bridged assets, network fees, and AUSD deposits grow, so do user benefits, creating a positive feedback loop that drives sustainable ecosystem growth.
A New Perspective on TVL
Katana takes a different approach to Total Value Locked (TVL). Instead of passively holding assets, they are actively deployed across lending, trading, and yield farming strategies to maximize both return and capital efficiency.
KAT: Governance, Incentive Alignment, and Sustainable Growth
The KAT token represents more than a speculative asset; it is the cornerstone of Katana’s governance model. Built on the vote-escrow (ve) system, it allows users to convert their tokens into veKAT.
Users can begin receiving KAT via free lootboxes after making pre-deposits. After a maximum lockup period of 9 months (which the foundation may release early), holders will be able to actively participate in decisions affecting the ecosystem’s evolution.
Private Mainnet Is Available
Katana’s private mainnet is already live. Developers, users, and builders can begin experimenting with the ecosystem’s core applications. For more details or to get involved, visit: katana.network
Press Contact:
CLPR | katana@clpr.agency
About Katana
Katana is a next-generation DeFi platform developed by the Katana Foundation. Built on Polygon’s ZK proof technology, its mission is to return value to users through sustainable yields, deep liquidity, and an architecture that supports cross-chain interoperability.
About Katana Foundation
The Katana Foundation is a nonprofit organization focused on advancing a superior DeFi experience for all ecosystem participants, prioritizing capital productivity and liquidity stability.
