🗻Overview
What is Hikari?
Hikari is a decentralized liquidity and yield protocol built on Katana Chain, designed to make token ownership safer and more productive.
At its core, Hikari introduces KARI, a token with a guaranteed floor price, which is the minimum value it can be redeemed for on-chain. This value is backed by protocol-owned liquidity and maintained automatically, even during extreme market downturns.
Hikari also introduces Farming-as-a-Service (FaaS). When users stake KARI, Hikari deploys unused treasury liquidity into trusted DeFi protocols on Katana. The yield generated from this activity is not distributed directly to users. Instead, it flows back into the treasury and increases the floor price of KARI over time. This creates a system where the value of KARI gradually increases, while the downside remains protected.
Key Features
🛡️ Floor Price Protection
Most tokens in DeFi are vulnerable to price crashes, low liquidity, and volatility. KARI is designed to resist those outcomes by guaranteeing a baseline value.
Liquidity is concentrated using SushiSwap’s concentrated liquidity pools. A significant portion is placed just below the floor to absorb sell pressure, and the rest spans upward to support organic price discovery. Automated rebalancing functions maintain this structure, keeping the token price within a protected range.
As a result, KARI can always be redeemed at or above the floor price. This structure gives holders confidence, limits downside risk, and creates long-term sustainability.
🌾 Yield That Raises the Floor
Staking KARI activates Hikari’s FaaS mechanism. The protocol allocates surplus AUSD from the treasury to yield-generating strategies across the Katana ecosystem, including platforms like Morpho, Vertex, and Sushi.
Instead of sending yield directly to users, Hikari reinvests it into the treasury. This grows the depth of liquidity around the floor and raises the redeemable value of KARI.
This model creates a positive feedback loop. As more users stake, more capital is farmed. As farming generates yield, the floor increases. And as the floor increases, so does confidence in KARI’s long-term value.
🔁 Smart Liquidity Lifecycle
Tokens go through a lifecycle that guarantees stability from the start:
Launch Auction ➡️ The token is first auctioned to determine its fair market price and raise liquidity.
Initial Setup ➡️ Liquidity is deployed around a carefully set floor price.
Live Rebalancing ➡️ Hikari adjusts the liquidity range over time using automated functions (PushUp, PullDown, FloorRaise, Drop) to keep price within the protected zone.
This system adapts to market moves without needing manual intervention.
🧬 Adaptive Design
Hikari includes several mechanisms that keep the system stable and self-sustaining:
Elastic Supply The protocol mints tokens when the price rises and burns tokens when the price falls, helping stabilize value during market shifts.
Smart Liquidity Management Liquidity is automatically repositioned to follow market prices and keep the floor protected. This requires no manual intervention.
Treasury Growth All swap fees and farming yield flow back into the treasury, increasing baseline liquidity and gradually pushing the floor price higher.
🌐 Why Hikari?
Hikari is built for users and protocols that value both protection and growth. It offers:
A guaranteed floor price backed by real liquidity
Sustainable yield farming that strengthens the token
Efficient liquidity placement using CL pools
Integration with Katana’s DeFi ecosystem
By combining safety, automation, and productive capital, Hikari creates a token economy where value is preserved and strengthened over time.
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