10 Litas coin issued to commemorate Kaunas (From the series Lithuanian Cities).
Kaunas is the second largest city in Lithuania and a former temporary capital. It is served by the freeways Via Baltica (E67) and Vilnius-Klaipėda (A1). Kaunas is located at the confluence of the two largest Lithuanian rivers, the Nemunas and the Neris, and near the Kaunas Reservoir, the largest body of water entirely in Lithuania.
On the site of the current Kaunas old town at the confluence of two large rivers, a settlement had been established by the tenth century AD. It is believed that the town was founded in 1030, but it is first mentioned in written sources in 1361. In the thirteenth century, a stone wall was built as protection from constant raids by the Teutonic Knights. In 1362, the town was captured by the Teutonic Knights, who destroyed the Kaunas Castle. The castle was rebuilt at the beginning of the 15th century.

In 1408 the town was granted Magdeburg Rights by Vytautas the Great and became a center of Kaunas Powiat in Trakai Voivodeship in 1413. Kaunas then began to gain prominence, since it was at an intersection of trade routes and a river port. In 1441 Kaunas joined the Hanseatic League, and Hansa merchant offices were opened. By the 16th century, Kaunas had a public school, a hospital, and a drugstore, and was one of the best-formed towns in the Grand Duchy of Lithuania.

In 1940 Kaunas was annexed by the Soviet Union as part of the Lithuanian SSR. 14 June 1941 marked the beginning of mass arrests, executions and deportations of citizens to Siberia and other parts of Russia. After the outbreak of German invasion into USSR on 23 June an uprising began in Kaunas and short-lived period of independence was proclaimed in Kaunas on June 23, 1941.

After World War II Kaunas became the main industrial city of Lithuania – it produced about a quarter of Lithuania's industrial output.