Kinetiq Foundation Announces KNTQ Token Launch, Allocating 24% to kPoints Holders

The Kinetiq Foundation, a key player in Hyperliquid’s DeFi ecosystem, has officially announced the launch of its native governance token, KNTQ, marking an important milestone for the rapidly expanding liquid staking protocol.

According to the announcement shared on October 22, 2025, 24% of the total 1 billion KNTQ supply will be distributed to kPoints holders, rewarding early participants who have supported the protocol since its inception.

KNTQ distribution and governance details

The KNTQ token is designed to give its holders a voice in the governance and future direction of Kinetiq. The foundation confirmed that the token’s initial airdrop will cover 25% of the total supply, with 24% allocated to kPoints holders and an additional 1% reserved for Hypurr holders.

Participants will need to accept the Kinetiq Foundation’s Terms of Use by November 21, 2025 (20:00 UTC) to be eligible for the token distribution.

A breakdown shared by Kinetiq shows how the rest of the supply will be distributed: 30% for protocol growth and rewards, 23.5% for core contributors, 10% to the foundation, 7.5% for investors, and 4% for liquidity purposes.

Core contributors and investors will have their allocations subject to a three-year vesting schedule with a one-year cliff. The foundation noted that these measures aim to ensure long-term alignment and sustainable growth.

Kinetiq’s growth and expanding role in Hyperliquid

Kinetiq’s rapid rise in the DeFi space has been quite notable. Since its July launch, the protocol has drawn more than $1.6 billion in total value locked (TVL) and over $460 million in deposits within its first 24 hours.

Built on Hyperliquid’s Layer 1, HyperEVM, Kinetiq allows users to stake HYPE tokens via kHYPE, its native liquid staking system, enabling continued liquidity for DeFi activities across HyperCore and HyperEVM.

The project’s partnerships, including an Earn vault with Veda Labs and institutional products through iHYPE, have helped it attract both retail and institutional users.

Towards the end of 2024, Kinetiq raised $1.75 million in seed funding, backed by Maven11 Capital and Susquehanna Crypto, to further support its development.

By distributing nearly a quarter of its supply to early supporters, Kinetiq appears to be reinforcing its community-first approach, aligning incentives between users, contributors, and investors as it cements its place within the Hyperliquid DeFi ecosystem.

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