Katana is a chain designed specifically for DeFi. It rethinks DeFi to offer what users care about most: deeper liquidity and higher yields, all in a sustainable way. This happens through mechanisms to ensure that all liquidity on Katana is absorbed in only one lending protocol (Morpho), one spot DEX (Sushi), which are the core applications on Katana with hundreds of applications building on top of them. This is achieved with a unique approach to maximizing yield that can be used as incentives on the core applications, including from Vault Bridge, sequencer fees, and Agora USD revenue.
Katana has deeply embedded, user-focused interoperability, using Agglayer for all users to onboard seamlessly. Katana uses ZK proofs to validate state transitions, allowing users to exit the chain without long wait periods.
Katana Network (KAT) Project Overview
Katana Network is a DeFi-focused Layer-2 that was born out of a partnership between Polygon Labs and GSR. Think of it as a purpose-built ecosystem where liquidity isn’t scattered across dozens of protocols but concentrated in just three core building blocks. First, there’s Sushi v3 for spot trading. Next comes Morpho for borrowing and lending. Finally, Vertex handles perpetual futures. By funneling activity into these flagship apps, Katana delivers deeper pools, tighter spreads, and more predictable user experiences.
Key design principles:
– Unified Liquidity: One AMM (Sushi v3), one lending protocol (Morpho), one perpetual DEX (Vertex), preventing fragmentation.
– Chain-Owned Liquidity (CoL): Sequencer fees and core-app revenue accumulate in CoL, which seeding pools to ensure deep, stable liquidity even in market dips.
– Embedded Yield (VaultBridge): Bridged assets into Katana can optionally earn yield on Ethereum’s Yearn or Morpho vaults before arriving, so deposits are productive from day one.
Under the hood, Katana uses Polygon’s AggLayer for seamless cross-chain bridges, while an Optimism-based rollup is bolstered by Succinct Labs’ zero-knowledge proofs to speed up finality and withdrawals. Every transaction fee and a share of core-app revenues flow into a Chain-Owned Liquidity treasury that helps cushion markets during volatility. On top of that, VaultBridge lets you earn yield on Ethereum’s Yearn or Morpho vaults as soon as you bridge assets in, so your funds start working right away.
Katana went live on private mainnet in May 2025 and opens to everyone in late June 2025. Its native token, KATANA, was distributed to POL stakers and early liquidity providers, and it powers governance, fee sharing, and incentive programs. With ETH as gas and a governance model designed for long-term alignment, Katana is built for DeFi traders, liquidity providers, and dApp creators who want sustainable yields and a unified, high-performance environment.
DeFi-Specific Chains
– Canto relies on a single AMM and lending market with inflationary rewards.
– Sei prioritizes a high-speed orderbook DEX but lacks native yield strategies.
– Katana brings together spot swaps, borrowing, perps and cross-chain yield in one integrated environment, making it a one-stop DeFi hub.
Protocol-Owned Liquidity Models
– OlympusDAO focuses on its OHM token owning liquidity for a single protocol.
– Katana takes that idea to a higher level by owning liquidity at the chain level, funding every core app’s pools to smooth out volatility.
Cross-Chain Liquidity Aggregators
– LayerZero and Thorchain let you swap across chains but leave assets scattered.
– Katana bridges assets into its ecosystem so liquidity becomes sticky and productive through VaultBridge.
FAQs About Katana (KAT)
Q1: What is Katana Network (KATANA)?
Katana Network is a DeFi-focused Layer-2 blockchain built with Polygon Labs and GSR. It unifies trading on Sushi, lending via Morpho, and perpetuals on Vertex, while offering built-in yield strategies and Chain-Owned Liquidity for deeper markets and more reliable returns.
Q2: What is the KATANA token, and how is it used?
KATANA (KAT) is the native token with a 10 billion supply. You lock KAT to get vKAT for governance votes, share in protocol fees, and direct liquidity incentives across Sushi, Morpho, and Vertex. All tokens went to POL stakers or early liquidity providers — there were no private sales.
Q3: How do I check KATANA Price Today?
Once KAT is tradable, you can view live KATANA/USDT prices on Katana’s Sushi DEX or on exchanges like XT.com. Price trackers such as CoinGecko and CoinMarketCap will also list KATANA price charts and historical data.
Q4: How can I trade KATANA/USDT on Katana?
Connect your wallet (MetaMask, WalletConnect) at app.katana.network, bridge assets using AggLayer, then head to Sushi to swap USDT for KAT or KAT for USDT.
Q5: Where can I follow Katana Network’s updates?
For official announcements, follow @katana on X (formerly Twitter), read their blog, and join Discord via links on katana.network.
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