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.

 

[sixgun]

This helps protect the KVT, increases volume and bumps up the yields.
Obviously this cannot be a long term course of action but it is a creative remedy at the moment.

 

[AlM]

Yes, the immutable, verifiable aspects are key. The weekly reports also accelerate the opportunity for positive mmessages to be posted by customers.

Very innovative, quick and simple, using an established platform. Another win for Kinesis and us.

 

[AlM]

Many thanks to @Uchiki and @Bryan who

managed to get my USDC credited from Coinbase.

Tip: don't try doing that as one of three things while you're driving, then blame other people as I did.

Many apologies and thank you.

 

[AlM]

I hadn't done any minting before yesterday, but I like the ability to search for only Mint transactions

If a total of transactions could be added it'd be great (24 in this case).

 

[MrLombaard]

It all just feels too artificial for me. It's good as a reward, but I prefer some real progress and growth.

Just like every month the fee pool was increased by mysterious big transactions and a handful of KVTs bought on the exchange toward the end of every month over the last couple of years. Clearly intervention to bump the fee pool to keep us happy and hopeful but I've not seen anything real to get excited about.

It's time to stop teasing and deliver something real.

 

[TomL]

It all just feels too artificial for me. It's good as a reward, but I prefer some real progress and growth.

Just like every month the fee pool was increased by mysterious big transactions and a handful of KVTs bought on the exchange toward the end of every month over the last couple of years. Clearly intervention to bump the fee pool to keep us happy and hopeful but I've not seen anything real to get excited about.

It's time to stop teasing and deliver something real.

Unfortunately I have to agree. To me this is an indication of how badly things are going, not a sign of a healthy system.

I have now gotten to the stage where mentally I have written off my KVT speculation. Hopefully I'm wrong.

 

[Sim]

I quite agree, it seems very artificial. But if the VDC is available within 15 days (which the ads seem to confirm) and the Kinesis pro version is ready to be deployed in the short term, it seems to me to be a good initiative to create visibility.

We should find out shortly, and the quarterly update is expected to be released soon.

 

[elf]

I haven't mint cycled before, maybe someone can help me understand it. I get how it's done, but I'm unsure of how you can be bringing all this new metal into system and also have the volume to offload it in the exchange. Wouldn't there need to be a ramp up of buying on exchange to meet the demand for all of the selling? Or do you sell direct to the MM asking price. If you're selling to MM do you lose out on the spread even with the 2 basis point 'reward' ($2 on a $10k cycle)?

 

[elf]

And, are you essentially buying from ABX and selling to Kinesis so they just do a swapsy on the books re who it's sitting with? Do ABX have that much that metal weight sitting around to facilitate people going bonkers on high volume cycles?

 

[Gary L]

KMS exchange volume is at $31M today. Mostly KAU. Would assume about $27M minted. A lot of this is recycling.
I think this is money being well redistributed (rather than spent). We and Kinesis want new investors from the precious metals, crypto and payments sectors flooding in soon and if they see evidence of large trading volumes, great spreads, high liquidity and a great UI experience, they’re more likely to have a good first impression. Holders yield is such an important thing to get up. KVT yield will become very important, because this will become a favourite of goldbugs and crypto bros alike, when yields start rising beyond a few dollars worth. Even KVT trading could be a huge revenue maker and attract many to the platform.
This is a system where almost all of its profits and some of its reserves are being pumped back into the system and somehow that’s not a good thing? There’s no signs of trouble in the company. Staff are long term and passionate. The only frustrations are coming from third parties outside of Kinesis’ control. It’s actually great to see things moving.

 

[Gary L]

Kinesis Money is in top 100 on CoinGecko for (perhaps the first time). We need to climb this ladder to be seen as legitimate.

 

[Gary L]

And does anyone seriously think that there’s one exchange on this list that hasn’t bolstered trading volume in a non-organic way in their history?

 

[Schlepti]

And does anyone seriously think that there’s one exchange on this list that hasn’t bolstered trading volume in a non-organic way in their history?

It wouldn't be crypto if they didn't at least this is actually users churning

 

[Troglodytes]

at least this is actually users churning

Churn & Earn ™

 

[gg_bach]

Lots of negative bias regarding the assumed motivations of the KMP. Not saying that's necessarily wrong, but let's consider some facts, then some other possibilities:

- Minting is the mechanism by which additional metal can be brought into the KMS ecosystem.

- Financial institutions and sovereigns are increasingly securing physical gold ownership as opposed to buying gold futures.

- Kinesis has alluded to partner(s) with deep pockets in recent Vaultside chats.

Could the KMP be a last ditch effort to juice the MFP? I suppose.

But it could also be intended for bigger players to reap rewards as they bring new, physical gold into Kinesis vaults. Maybe Kinesis needs this additional metal to support upcoming programs. Or maybe it's an effort to incrementally influence real price discovery for physical gold/silver, which I believe to be a long-held objective of the Tom, Andy, etc.

Of course, I am just speculating like others in this thread. But when everyone insists the glass is half empty, I want to seriously consider if it's half full.

 

[Derek]

Kinesis subsidizing trades at significant expense in order to juice volume is bad, actually. Even if it’s a temporary stopgap it doesn’t speak well for the health of the system.

Well, marketing money is going to be spent somewhere. Kinesis has decided to spend some here.

From where I sit this serves a couple of important roles:

1. It starts producing yields again. Artificial, but Kinesis is essentially taking some of the profits they make in other areas of the business and handing it to KVT owners, and via Holder's Yield, and velocity yields for those who participate.
2. USD1 is being used. If it is going to be ranked on places like Coingecko, then it can't sit in the Kinesis treasury account. It needs to be spread around, and held in lots of different wallets. This does so, and it shows some velocity. This raises Kinesis' visibility.
3. It generates interest. "What is this minting thing that this dude said he's doing to get free blockchain based, vaulted gold? It's clearly not 'minting' like they mean with BTC...."

These are all good things, and I think they are a good use of marketing spend.

Is there a better way to spend that money to serve these purposes? Kinesis management reads these threads - throw your ideas out!

Of course, I am just speculating like others in this thread. But when everyone insists the glass is half empty, I want to seriously consider if it's half full.

There's lots going on behind the scenes. To me it looks like the Kinesis vision has been expanded significantly, and from the analysis of the puzzle I'm doing here behind my monitor I think I know what's up, and it's very exciting.

We are probably going to need to keep waiting before we understand all the goals here, and once we get it I hope it's a "ooooooh, that makes a lot of sense" moment for us all.

Time will tell. I wish things moved faster, but I'm excited. The fact that Kinesis is doing this now suggests confidence in the timeline of products coming onlike soooooooooooooooooooon(tm). Maybe that's the most exciting thing.

 

[dirks]

Well, marketing money is going to be spent somewhere. Kinesis has decided to spend some here.

From where I sit this serves a couple of important roles:

1. It starts producing yields again. Artificial, but Kinesis is essentially taking some of the profits they make in other areas of the business and handing it to KVT owners, and via Holder's Yield, and velocity yields for those who participate.
2. USD1 is being used. If it is going to be ranked on places like Coingecko, then it can't sit in the Kinesis treasury account. It needs to be spread around, and held in lots of different wallets. This does so, and it shows some velocity. This raises Kinesis' visibility.
3. It generates interest. "What is this minting thing that this dude said he's doing to get free blockchain based, vaulted gold? It's clearly not 'minting' like they mean with BTC...."

These are all good things, and I think they are a good use of marketing spend.

Is there a better way to spend that money to serve these purposes? Kinesis management reads these threads - throw your ideas out!



There's lots going on behind the scenes. To me it looks like the Kinesis vision has been expanded significantly, and from the analysis of the puzzle I'm doing here behind my monitor I think I know what's up, and it's very exciting.

We are probably going to need to keep waiting before we understand all the goals here, and once we get it I hope it's a "ooooooh, that makes a lot of sense" moment for us all.

Time will tell. I wish things moved faster, but I'm excited. The fact that Kinesis is doing this now suggests confidence in the timeline of products coming onlike soooooooooooooooooooon(tm). Maybe that's the most exciting thing.

Hi Derek,

what you're saying makes sense to me. I don't get your comment re usd1. How does this program support the use of usd1?

Thanks

 

[Derek]

As I understand it, USD1 (once complete) should be the premier stablecoin, and it should be in the top 5 or so by market cap.

But market cap is measured in ways that require it to actually be used to count. If there's $12 billion in one account, is that really in circulation? Not really. So spreading it around really helps as far as visibility, as do transactions visible on the blockchain between lots of accounts.

So if millions of dollars of minting in USD1 happens, suddenly USD1 starts to rise in the listings, and Kinesis begins to draw more attention.

I'm not an expert, and this is my understanding, but there we are.

 

[Willbe]

Nice initiative - the Minting Programme. But I do think it discriminates between users with small capital available and users with loads of cash...

Break even point at this moment is $25.000 when minting to offset the $5 transaction fee to the mint...

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.

I would suggest to make the transfer fee to the mint 0.005% with a maximum of $5 (or $25).

This way even users with little cash available can benefit.

Think this would be a more fair programma respecting ALL users who are eligible...not just the whales.

 

[Cliff]

KMS exchange volume is at $31M today. Mostly KAU. Would assume about $27M minted. A lot of this is recycling.
I think this is money being well redistributed (rather than spent). We and Kinesis want new investors from the precious metals, crypto and payments sectors flooding in soon and if they see evidence of large trading volumes, great spreads, high liquidity and a great UI experience, they’re more likely to have a good first impression. Holders yield is such an important thing to get up. KVT yield will become very important, because this will become a favourite of goldbugs and crypto bros alike, when yields start rising beyond a few dollars worth. Even KVT trading could be a huge revenue maker and attract many to the platform.
This is a system where almost all of its profits and some of its reserves are being pumped back into the system and somehow that’s not a good thing? There’s no signs of trouble in the company. Staff are long term and passionate. The only frustrations are coming from third parties outside of Kinesis’ control. It’s actually great to see things moving.

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?