Camino, a leading lending protocol on the Solana blockchain, is facing severe criticism for imposing restrictions on users’ ability to transfer loans. According to Chain Catcher, Camino manually blacklisted the on-chain address of Jupiter Land’s new refinancing tool, preventing users from closing their positions through this address. This move has created difficulties for users attempting to utilize Jupiter Land’s refinancing services. Jupiter’s core team member, Kash Dhanda, expressed dissatisfaction with the restriction, while Sameek Jain, co-founder of DeFi liquidity protocol Fluid, pointed out that Camino has implemented a system that confines users to its platform and blocks them from moving to other protocols offering higher yields. Data from DeFi Llama shows that the total locked value in Solana’s lending market is approximately $3.7 billion, with Camino holding over 60% market share. However, Camino’s locked value has dropped from around $3.71 billion in early October to about $2.33 billion, marking a nearly 30% decline within two months. Neither Camino nor Jupiter has issued an official statement on the matter. Such restrictions by Camino are seen as contrary to DeFi principles of decentralization, openness, and transparency, potentially eroding user trust. There are concerns this situation may impact competition in Solana-based lending markets, prompting users and investors to consider whether Camino will soften its policies or if alternative platforms will gain traction.
Source: binance
