Binance Launches KernelDAO, 40 Million KERNEL Tokens Up For Grabs
1min read Binance Megadrop has announced its fourth project, KernelDAO (KERNEL), a restaking protocol that supports three key tokens: Kernel, Kelp, and Gain. Introduced in 2024, Binance Megadrop is a token launch platform that provides users with early access to promising crypto projects before their official listing. KernelDAO is designed to allow users to repurpose staked assets, such as ETH or BNB, to participate in other protocols, thereby maximizing yield. The protocol launched its mainnet in December 2024.
The KernelDAO Megadrop event is set to commence on April 1, 2025, and will last for 20 days, rewarding participants with KERNEL tokens. Kelp, a component of KernelDAO, manages over $1.15 billion in Total Value Locked (TVL) across 10 blockchains, including Ethereum and BNB Chain. KernelDAO has a maximum supply of 10 billion KERNEL tokens, with Binance allocating 40 million KERNEL (4% of the total supply) for participants. Upon listing on Binance, the initial circulating supply will be 162,317,496 KERNEL (16.23% of the total supply).
Ask Aime: How does KernelDAO's token launch impact the crypto market?
After the Megadrop event, KERNEL will be listed on Binance Spot with trading pairs such as KERNEL/BTC, KERNEL/USDT, and KERNEL/BNB. KernelDAO is the fourth project on Binance Megadrop, following Lista (LISTA) and Xai (XAI). Previously, Binance Megadrop has supported projects aimed at building recovery infrastructure on the BNB Chain. Binance’s inclusion of KernelDAO could contribute to the growth of the restaking sector. The total TVL of restaking protocols surpassed $15 billion in early 2025, with EigenLayer and Kelp leading the market.
With 40 million KERNEL tokens distributed through Megadrop, many participants may sell immediately after receiving their tokens, potentially creating downward price pressure. Additionally, increasing competition from protocols like EigenLayer could pose challenges for KernelDAO. It is also noted that not all projects listed on Binance have performed impressively. In 2024, Binance-listed tokens all fell, with 29 out of 30 tokens posting significant losses.
KernelDAO's launch through Binance Megadrop represents a significant development in the restaking sector. The protocol's ability to maximize yield by repurposing staked assets could attract a wide range of users looking to optimize their crypto holdings. However, the potential for immediate selling by participants and competition from other protocols like EigenLayer present challenges that KernelDAO will need to navigate. The success of KernelDAO will depend on its ability to differentiate itself in a competitive market and deliver on its promise of maximizing yield for users.
