Kinesis launches the Kinesis Minting Programme

Kinesis is launching the Kinesis Minting Programme (KMP), a rewarding new initiative enabling participants to continuously accumulate gold (KAU) as they mint cycle.

The programme enables long-term KVT holders and qualifying minters to earn 0.02% in gold (KAU) on each mint cycle, with all minting costs covered by Kinesis. Gold rewards and cost reimbursements will be paid into the minter’s Kinesis account on a weekly basis. Importantly, there are no maximum limits on the number of mint cycles or volume minted.

The Kinesis Minting Programme will launch at 00:00 (UTC) on Tuesday 4th March.

At the core of the KMP is mint cycling, the process where users mint gold (KAU), sell it on the Kinesis Pro exchange and repeat the cycle.

Building on the success of previous minting initiatives, the KMP is designed to stimulate repeated, high-volume engagement in the Kinesis platform. With each minter incentivised to cycle substantial volumes through the platform in a single day, the scale of transactional activity the KMP could generate becomes clear.

It is not just the minters of Kinesis who stand to benefit from the KMP. Kinesis has activated the KMP to catalyse the Kinesis yield engine. As minters capitalise on this unique opportunity, overall transaction volume is expected to rise, significantly boosting the yields across the platform. As is the Kinesis way, the impact of the KMP will be felt by every last user of the Kinesis Monetary System.by every last user of the Kinesis Monetary System.

Key Benefits of the Kinesis Minting Programme​

Participants earn 2 basis points (0.02%) gold (KAU) for every completed mint cycle, providing an additional reward on top of the existing benefits of minting.

Refunded Fees Breakdown:​

As part of the KMP, participants are reimbursed for the following fees:

• Mint trade execution fee: (0.45%): charged when minting gold (KAU).
• Minting/Exchange spread (0.23%): represents the difference between the Ask in the Kinesis Mint and Bid in the Kinesis Exchange.
• Trade execution fee (0.22%): applied when selling gold (KAU) for USD on the Kinesis Pro exchange.

In total, 90 basis points (0.90%) are reimbursed*.

Payout schedule​

Gold rewards and reimbursements are settled weekly.

Each week, gold (KAU) rewards and fee reimbursements will be accumulated from Monday at 00:00 (UTC) to the following Monday at 00:00 (UTC).

Gold reward and reimbursements will be paid out into the minter’s Kinesis account weekly, each Tuesday, going forward.

The first payout date will be Tuesday 11th March.

*In a flat market, where a mint cycle is conducted without market movement with sufficient market liquidity, the standard cost is 0.90%. As part of the KMP, participants will receive a refund of minting costs (0.90%) along with an additional 0.02% reward, resulting in a net benefit of approximately 2 basis points, less the $5 fixed withdrawal fee. Returns are calculated based on prevailing fees and spreads and are subject to market fluctuations.

Maximising Monthly Yields through Mint Cycling​

The more volume Kinesis users mint, the greater their share of the yields each month. Mint cycling is a powerful way for users to increase their share of the yield fee pool and their monthly yields:

• Minter’s Yield (5%): Each minting cycle generates more transaction volume, increasing a minter’s lifetime share of this yield.
• Velocity Yield (10%): Each time a user sells their minted gold or silver, they activate the Velocity Yield. Therefore, mint cycling allows participants to secure a greater share of the Velocity Yield, which rewards users based on the volume they generate, in relation to system-wide transactional volume.

With fewer participants in this initial phase, minters can secure a greater proportional share of the fee pools. Participants have the opportunity to secure a larger proportion of the Minter’s Yield and Velocity Yield distribution before the system scales to a wider user base.

How does the KMP benefit all Kinesis users?​

The KMP plays a key role in expanding the Kinesis Monetary System, increasing transactional activity and, as a result, yields.

The Holder’s Yield​

With high volumes expected, the Kinesis Minting Programme could have a significant impact on the Holder’s Yield.

Increased volume results in a larger share of fee revenue being distributed to those holding precious metals on the platform. The Holder’s Yield is shared out, based on the amount of a metal you hold, in relation to the overall market cap. As mint cycling encourages high-volume trading and fee generation, the KMP has the potential to enhance yields for everyone holding precious metals with Kinesis.

Joining the Kinesis Minting Programme​

In phase 1, the KMP is open solely to long-term KVT holders and highly engaged Kinesis users.

Kinesis has structured the KMP to recognise and reward KVT holders for their foundational role in the growth of the Kinesis Monetary System. In this way, KVT owners have the early opportunity to maximise the potential of the programme.

To reward long-term KVT holders the only requirement is:

1. KVT holders must have held 1 or more KVT for over a year.
2. For those Kinesis users who have not held 1 or more KVT for over year:
3. Kinesis users must meet one of the following eligibility requirements:

Please note: these eligibility requirements must be met after March 4th 2025. Activity on the Kinesis platform before this date will not grant you access to the Kinesis Minting Programme.

• Purchase 10 KVTs
• Sign up 10 individuals to the Kinesis ecosystem
• Onboard 3 businesses to utilise the Kinesis platform
• Trade $500,000 on the Kinesis Pro exchange
• Spend $10,000 in Metalback rewards
• Spend $10,000 using the Kinesis Virtual Card

These requirements ensure that participants actively contribute to the ecosystem, reinforcing the community-driven nature of Kinesis. By fulfilling one of these criteria, users can unlock the benefits of the minting programme and begin earning rewards.o

For a detailed guide, refer to the KMP White Paper

Programme Timeline & Future Phases​

Phase One: Early Access​

• Limited access for early adopters (KVT holders) and highly engaged users.
• Full cost refunds and gold rewards for participants
• Weekly reimbursements.

Phase 1 will run for a limited period.

We look forward to updating you on Phase 2, which will include access to the wider Kinesis Community.

How is the Kinesis Minting Programme made possible?​

From a commercial perspective, the KMP is a sustainable and profitable initiative for Kinesis due to the fully integrated nature of the system, strategic partnerships, and Kinesis’ vertical integration within the precious metals industry.

• Fee pool participation: Kinesis itself is a participant in the fee pool, receiving revenue from each fee taken.
• Market Stability: Kinesis acts as both market participant and facilitator, ensuring smooth asset flows and stable pricing.
• Industry-Leading Relationships: Strong partnerships with gold and financial sector leaders provide deep liquidity and competitive pricing.
• Ownership & Efficiency: Kinesis owns its entire technology stack, minting platform, refinery, mint, and a number of vaults, eliminating third-party reliance and reducing costs.
• Seamless Operations: Vertical integration ensures efficient, secure, and cost-effective transactions.

For Kinesis, the KMP creates a continuous cycle of engagement and rewards, driving user participation, liquidity, and market attention. The more activity within the system, the more participants and the ecosystem as a whole benefit, fostering organic growth and scalability.

Conclusion​

We encourage Kinesis users to access the benefits of the KMP.

The KMP is designed to drive value across the entire ecosystem by increasing transactional volume, enhancing system-wide yields, and reinforcing the platform’s long-term sustainability. Every minted asset contributes to greater liquidity and engagement, ensuring that all participants benefit from the system’s expansion.

The Kinesis Minting Programme upholds the core principles of the platform. Kinesis is, and always will be, the monetary system built to reward every single participant.

 

[Gary L]

Understand the mechanics selling KAU/ KAG then minting some more and going back to the exchange to sell.
Question is, at what % gain [ purchase to sale ] makes the whole minting process worthwhile on a continues basis?
See there is a huge increase in volume turnover.
Also does negative/ positve price fluctuations have an impact on gains?

Extremely valid point Cliff and I mentioned in a previous post that I thought that it’s not everyone’s cup of tea (mainly for traders). It’s kind of like going in circles and coming out about the same place. It’s a valid strategy (the getting nowhere strategy), if say NU or the Haj fund starts suddenly trading in the billions and we mint just before this happens. However, here’s some other reasons why some of us might get involved:

1. Weekend market making. When things like the VDC and Indonesia (please don’t shoot me), the weekends and various public holidays have wider spreads. A strategy that I’ve considered, is to mint a 100 or 200 KAU just before the Mint close and then put a KMS limit order sell, slightly below the major set weekend sell price. If someone is desperate or keen enough to buy some gold on the weekend, it would be the first to go. Minting after severe Friday waterfall hammer drops would be a slightly better version of this.
2. For trading in precious metals’ corrections or bear markets. Gold as wonderful as it is, is not immune to either. If there’s serious risk off, some sort of liquidity crisis that is not being papered over properly, or even if gold gets a little too overbought, these things can certainly happen. Being in USD can (for a very short period, please don’t shoot me again), can be amazing to have dry powder when there’s a sale on. But bear market rallies are a great to buy if you can get some of it. Minting into this would just make it taste ever so sweeter. And if I catch a falling knife, I can at least say I minted some gold which will bounce back in a couple of months.
3. In the midst of a bull market rally, there’s going to be gaps to fill and little tops to sell and some serious pull backs to to buy (Mint). If gold rises 12 days in a row, they’ll smash in the next couple of days. It’s still a manipulated market.
4. Another one is crypto trading profits. These can be lost just as easily and quickly. Why couldn’t a trader, Mint cycle $1M of his or her gains to ensure a permanent income from it, for eternity? It doesn’t cost much compared to the reward/risk of getting the gains or losses to be had in crypto trading, but if it’s done after every winning cash out, it sets up an income stream that can last beyond the gambling (not easily lost).
5. With trading strategies, it can always go the wrong way and it’s a definite risk. I get it wrong heaps of times, but the odd time, like I caught the first flew days of the recent Alt-coin rally with XDC, sold too early, but still made an incredible killing and it was great. This would be the ideal time to use the profits to Mint cycle trade KAU. I win some and lose some. But profits are extra profits and losses become tax losses from then on. And minting yields are eternal. Playing with house money.

To sum it up it seems about 95% of it is for traders and gamblers to at least get a regular income out of whatever they are doing. The rebate takes the friction out of this and if the trader can be disciplined enough to take small profits, there’s the extra money rolling back in a few days later. 4% is for non profit/non loss trading, hoping to just mint before a massive increase in trading volume. 1% is the arbitrage where we can probably earn a couple of risk free dollars on weekends. As the system grows and more trading activity occurs on weekends, arbitrage opportunities might become quite a good strategy.
As I see it, I’m either in KAU or USD and they are generally both better options than being in my native currency of AUD. If trades go the wrong way, I’m holding a bag of KAU or USD (poor me!). if I’m not in AUD, I generally win. And I’m sure this is probably the case for many non US currency users around the world.

 

[Frieda]

So for small users it makes no sense to mint unless you think the minters yield will pay some good yield in the future to come.

When I looked at minting, it was always a question of price to mint, vs price to purchase on the exchange. I though it was less expensive to purchase.

Currently an option to sell, and mint.
I suppose I'd have to sell twice and mint twice to get one quota of minting yields. (and maintain my stack)

 

[Cliff]

Extremely valid point Cliff and I mentioned in a previous post that I thought that it’s not everyone’s cup of tea (mainly for traders). It’s kind of like going in circles and coming out about the same place. It’s a valid strategy (the getting nowhere strategy), if say NU or the Haj fund starts suddenly trading in the billions and we mint just before this happens. However, here’s some other reasons why some of us might get involved:

1. Weekend market making. When things like the VDC and Indonesia (please don’t shoot me), the weekends and various public holidays have wider spreads. A strategy that I’ve considered, is to mint a 100 or 200 KAU just before the Mint close and then put a KMS limit order sell, slightly below the major set weekend sell price. If someone is desperate or keen enough to buy some gold on the weekend, it would be the first to go. Minting after severe Friday waterfall hammer drops would be a slightly better version of this.
2. For trading in precious metals’ corrections or bear markets. Gold as wonderful as it is, is not immune to either. If there’s serious risk off, some sort of liquidity crisis that is not being papered over properly, or even if gold gets a little too overbought, these things can certainly happen. Being in USD can (for a very short period, please don’t shoot me again), can be amazing to have dry powder when there’s a sale on. But bear market rallies are a great to buy if you can get some of it. Minting into this would just make it taste ever so sweeter. And if I catch a falling knife, I can at least say I minted some gold which will bounce back in a couple of months.
3. In the midst of a bull market rally, there’s going to be gaps to fill and little tops to sell and some serious pull backs to to buy (Mint). If gold rises 12 days in a row, they’ll smash in the next couple of days. It’s still a manipulated market.
4. Another one is crypto trading profits. These can be lost just as easily and quickly. Why couldn’t a trader, Mint cycle $1M of his or her gains to ensure a permanent income from it, for eternity? It doesn’t cost much compared to the reward/risk of getting the gains or losses to be had in crypto trading, but if it’s done after every winning cash out, it sets up an income stream that can last beyond the gambling (not easily lost).
5. With trading strategies, it can always go the wrong way and it’s a definite risk. I get it wrong heaps of times, but the odd time, like I caught the first flew days of the recent Alt-coin rally with XDC, sold too early, but still made an incredible killing and it was great. This would be the ideal time to use the profits to Mint cycle trade KAU. I win some and lose some. But profits are extra profits and losses become tax losses from then on. And minting yields are eternal. Playing with house money.

To sum it up it seems about 95% of it is for traders and gamblers to at least get a regular income out of whatever they are doing. The rebate takes the friction out of this and if the trader can be disciplined enough to take small profits, there’s the extra money rolling back in a few days later. 4% is for non profit/non loss trading, hoping to just mint before a massive increase in trading volume. 1% is the arbitrage where we can probably earn a couple of risk free dollars on weekends. As the system grows and more trading activity occurs on weekends, arbitrage opportunities might become quite a good strategy.
As I see it, I’m either in KAU or USD and they are generally both better options than being in my native currency of AUD. If trades go the wrong way, I’m holding a bag of KAU or USD (poor me!). if I’m not in AUD, I generally win. And I’m sure this is probably the case for many non US currency users around the world.

Thank you for your reply Gary L:
Have been a hodler and KVT holder for quite some time.
The hodling, has been worthwhile.
The KVT's have as yet to perform, although purchasing at $1300 and book value $2000.
Has had an increase in valuation. [ was always a long term investment, yet to earnings wise reward ]
Will give some serious thought to your reply.
Thank you.

 

[Silver Falcon]

Can someone help me understand why, with all the minting going on, the amount of KAU and KAG in circulation never seems to significantly change? Doesn’t minting increase the gold and silver in the system?

 

[Schlepti]

Can someone help me understand why, with all the minting going on, the amount of KAU and KAG in circulation never seems to significantly change? Doesn’t minting increase the gold and silver in the system?

Mint cycling is essentially purchasing KAU/KAG from the mint, adding to the total amount in circulation.

These tokens are then sold on market. The issue is that most (probably all currently) are sold to the market maker.

The user then uses the USD from the transaction to buy from the mint again and repeats.

The market maker doesn't have infinite money so would then sell the gold/silver they just purchased to fund their wallet. It has never been discussed as far as I've seen but I think the assumption is it is just Kinesis who then puts the KAU/KAG back into the mint. This reduces the circulating supply again.

So basically there is no change, just fees generated along the way, paid for by the user who does this with the belief the future yield will be greater than the fees paid.