Farms & Rewards

Every vault supports three farm types. All three should be created during vault initialization for full functionality:

Farm	Purpose	SDK Support
Vault Farm	Distributes rewards to depositors (receipt token holders)	Available
First Loss Capital Farm	Holds manager-deposited capital that absorbs losses before depositors	Available
Autocompound Farm	Distributes rewards in the deposit token, automatically compounding into vault positions	Coming soon

The SDK’s createVaultIxs method automatically generates instructions for both the Vault Farm and First Loss Capital Farm during vault initialization. See Creating a Vault for the full creation flow. If farms are not created during initialization, they can be created and attached post-creation using the methods described below.

UI
SDK
API
Kamino CLI

Vault Farm

A vault farm enables reward distribution to depositors (receipt token holders). One farm per vault; it must be created and attached before rewards can be distributed.

Creating a Farm

Farm creation is a single transaction that:

Creates the farm
Attaches it to the vault
Transfers farm authority to the protocol

Parameter: Farm (farm public key) — immutable after creation.

Cooldown Period

Configured when setting up reward distribution. The cooldown period is a delay before reward claims become available.Purpose: Prevents the exploit where depositors deposit, claim rewards immediately, and withdraw. The cooldown ensures depositors have meaningful exposure before claiming.

First Loss Capital Farm

Manager-deposited capital that absorbs vault losses before depositors incur any loss.

Parameter	Type	Description
`FirstLossCapitalFarm`	Public key	Farm holding the first loss capital buffer
Token	Token type	Asset deposited as first loss capital
Lockup Period	Duration	Period during which capital is locked and cannot be withdrawn

Loss Waterfall

Vault bad debt
  → First Loss Capital buffer absorbs losses
    → If buffer depleted, depositors incur loss

Setup: Create a vault farm → configure token and lockup period → deposit assets.

First loss capital provides depositors with a safety buffer, increasing vault attractiveness. The lockup period ensures the buffer remains available during adverse conditions.

Autocompound Farm

Parameter: VaultAutocompoundFarm (farm public key)A farm that distributes rewards in the vault’s deposit token, automatically compounding into vault positions.Example: A USDC vault with an autocompound farm distributes USDC rewards that are automatically reinvested into the vault — increasing depositor positions without manual claiming.

SDK support for creating the Autocompound Farm will be added in a future release. Currently, it can be configured via the UI.

Crank Fund Fee

Parameter: CrankFundFeePerReserve (fee amount per reserve)Fee charged per reserve to fund crank operations that maintain vault state and execute rebalancing. This covers the computational costs of off-chain bots that trigger on-chain state updates.

Farms & Rewards via SDK

Use the SDK to create farms, read reward data, and manage incentives programmatically.

Farm Creation During Vault Initialization

The recommended approach is to create farms during vault initialization. The createVaultIxs method automatically generates instructions for both the Vault Farm and First Loss Capital Farm. See Creating a Vault — SDK for the full flow including farm setup transactions.

Creating a Farm Post-Creation

If farms were not created during vault initialization, use createVaultFarmIxs to create a farm, then attach it to the vault with updateVaultFarmIxs (for the Vault Farm) or updateVaultFirstLossCapitalFarmIxs (for the FLC Farm). The process for each farm requires three steps: create the farm account, configure farm-side settings, and register the farm on the vault.

import {
  createSolanaRpc,
  createSolanaRpcSubscriptions,
  address,
  pipe,
  createTransactionMessage,
  setTransactionMessageFeePayerSigner,
  setTransactionMessageLifetimeUsingBlockhash,
  appendTransactionMessageInstructions,
  signTransactionMessageWithSigners,
  sendAndConfirmTransactionFactory,
  getSignatureFromTransaction,
} from '@solana/kit';
import {
  KaminoManager,
  KaminoVault,
  getMedianSlotDurationInMsFromLastEpochs,
} from '@kamino-finance/klend-sdk';
import { parseKeypairFile } from '@kamino-finance/klend-sdk/dist/utils/signer.js';

const adminSigner = await parseKeypairFile('/path/to/your/keypair.json');
const rpc = createSolanaRpc('https://api.mainnet-beta.solana.com');
const rpcSubscriptions = createSolanaRpcSubscriptions('wss://api.mainnet-beta.solana.com');

const slotDuration = await getMedianSlotDurationInMsFromLastEpochs();
const kaminoManager = new KaminoManager(rpc, slotDuration);

const vault = new KaminoVault(rpc, address('<VAULT_ADDRESS>'));

// Step 1: Create the farm account and configure farm-side settings
const { farm, setupFarmIxs, updateFarmIxs } = await kaminoManager.createVaultFarmIxs(
  adminSigner,
  vault,
);

// Send setup transaction (creates the farm account)
const { value: latestBlockhash } = await rpc
  .getLatestBlockhash({ commitment: 'finalized' })
  .send();

const setupTxMessage = pipe(
  createTransactionMessage({ version: 0 }),
  (tx) => setTransactionMessageFeePayerSigner(adminSigner, tx),
  (tx) => setTransactionMessageLifetimeUsingBlockhash(latestBlockhash, tx),
  (tx) => appendTransactionMessageInstructions(setupFarmIxs, tx)
);

const signedSetup = await signTransactionMessageWithSigners(setupTxMessage);
await sendAndConfirmTransactionFactory({ rpc, rpcSubscriptions })(signedSetup, {
  commitment: 'confirmed',
  skipPreflight: true,
});

// Send update transaction (configures farm-side settings)
const { value: latestBlockhash2 } = await rpc
  .getLatestBlockhash({ commitment: 'finalized' })
  .send();

const updateTxMessage = pipe(
  createTransactionMessage({ version: 0 }),
  (tx) => setTransactionMessageFeePayerSigner(adminSigner, tx),
  (tx) => setTransactionMessageLifetimeUsingBlockhash(latestBlockhash2, tx),
  (tx) => appendTransactionMessageInstructions(updateFarmIxs, tx)
);

const signedUpdate = await signTransactionMessageWithSigners(updateTxMessage);
await sendAndConfirmTransactionFactory({ rpc, rpcSubscriptions })(signedUpdate, {
  commitment: 'confirmed',
  skipPreflight: true,
});

// Step 2: Register the farm on the vault
// For the Vault Farm:
const { updateVaultConfigIx } =
  await kaminoManager.updateVaultFarmIxs(vault, farm.address);

// For the FLC Farm, use this instead:
// const { updateVaultConfigIx } =
//   await kaminoManager.updateVaultFirstLossCapitalFarmIxs(vault, farm.address);

const attachIxs = [updateVaultConfigIx];

const { value: latestBlockhash3 } = await rpc
  .getLatestBlockhash({ commitment: 'finalized' })
  .send();

const attachTxMessage = pipe(
  createTransactionMessage({ version: 0 }),
  (tx) => setTransactionMessageFeePayerSigner(adminSigner, tx),
  (tx) => setTransactionMessageLifetimeUsingBlockhash(latestBlockhash3, tx),
  (tx) => appendTransactionMessageInstructions(attachIxs, tx)
);

const signedAttach = await signTransactionMessageWithSigners(attachTxMessage);
await sendAndConfirmTransactionFactory({ rpc, rpcSubscriptions })(signedAttach, {
  commitment: 'confirmed',
  skipPreflight: true,
});

console.log('Farm created and attached! Farm address:', farm.address);

Farm creation is irreversible. The farm public key becomes immutable after creation and farm authority transfers to the protocol.

Reading Incentive Data

Query vault farm incentives including delegated rewards, reserve farm incentives, and direct vault farm incentives.

import { createSolanaRpc, address } from '@solana/kit';
import { KaminoManager, KaminoVault } from '@kamino-finance/klend-sdk';
import { Decimal } from 'decimal.js';

const rpc = createSolanaRpc('https://api.mainnet-beta.solana.com');
const vault = new KaminoVault(rpc, address('<VAULT_ADDRESS>'));
const kaminoManager = new KaminoManager(rpc);

const vaultTokenPrice = new Decimal(1.0); // adjust for non-stablecoin vaults
const vaultOverview = await kaminoManager.getVaultOverview(vault, vaultTokenPrice);

console.log('Delegated farm incentives:', vaultOverview.delegatedFarmIncentives);
console.log('Reserve farm incentives:', vaultOverview.reservesFarmsIncentives);
console.log('Vault farm incentives:', vaultOverview.vaultFarmIncentives);

First Loss Capital

The First Loss Capital Farm is typically created during vault initialization alongside the Vault Farm. If created post-creation, use createVaultFarmIxs to create the farm account and configure farm-side settings (same setup + update flow as above), then register it on the vault as the FLC Farm:

const { updateVaultConfigIx } =
  await kaminoManager.updateVaultFirstLossCapitalFarmIxs(vault, farm.address);
// Build and send as a transaction

After the farm is attached, configure the token and lockup period, then deposit assets.

Autocompound Farm

SDK support for the Autocompound Farm will be added in a future release. Once available, it can be configured post-creation using dedicated update methods. The Autocompound Farm distributes rewards in the vault’s deposit token, automatically compounding them into vault positions.

Learn More

For deeper SDK reference, see Earn Vaults — SDK and the full SDK examples on GitHub.

Reading Rewards Data via API

The API provides read access to vault reward information. For comprehensive reward monitoring, see Rewards Data.

Vault Rewards

Query active reward programs for a vault.

const response = await fetch('https://api.kamino.finance/kvaults/rewards');
const rewards = await response.json();
console.log('All vault rewards:', rewards);

Farm creation and management is not available via the REST API. The API supports reading reward data — see Rewards Data for all available endpoints. To create farms and manage rewards programmatically, use the SDK or UI tabs above.

Learn More

For the full API reference, see API Reference and the API docs.

Getting Started

Management

Data & API

Reference

Vault Farm

Creating a Farm

Cooldown Period

First Loss Capital Farm

Loss Waterfall

Autocompound Farm

Crank Fund Fee

Farms & Rewards via SDK

Farm Creation During Vault Initialization

Creating a Farm Post-Creation

Reading Incentive Data

First Loss Capital

Autocompound Farm

Learn More

Reading Rewards Data via API

Vault Rewards

Learn More

Getting Started

Management

Data & API

Reference

​Vault Farm

​Creating a Farm

​Cooldown Period

​First Loss Capital Farm

​Loss Waterfall

​Autocompound Farm

​Crank Fund Fee

​Farms & Rewards via SDK

​Farm Creation During Vault Initialization

​Creating a Farm Post-Creation

​Reading Incentive Data

​First Loss Capital

​Autocompound Farm

​Learn More

​Reading Rewards Data via API

​Vault Rewards

​Learn More

Vault Farm

Creating a Farm

Cooldown Period

First Loss Capital Farm

Loss Waterfall

Autocompound Farm

Crank Fund Fee

Farms & Rewards via SDK

Farm Creation During Vault Initialization

Creating a Farm Post-Creation

Reading Incentive Data

First Loss Capital

Autocompound Farm

Learn More

Reading Rewards Data via API

Vault Rewards

Learn More