I'm really at a state of confusion with the idea of Kaname dying or not, to be perfectly honest. I've debated it over and over in my mind until I've given myself an actual headache.
Pretty much everything has been said just about, so my two cents may seem a bit repetitive.
Here's how I stand:
1. Kaname's deep love and attachment to Yuuki. He loves the girl more than anyone loves anything, it takes love to a whole new level.
Obviously if she were in danger he'd sacrifice himself to save her without hesitation.
Be that as it may, his love for Yuuki could easily keep him alive just as much as it can kill him.
It's clear he would never want Yuuki to be in any form of pain or suffering. It's obvious she loves Kaname a lot, so if he were to die that would obviously make her suffer badly. A chunk of her heart would be ripped out and she'd be in despair. Even if Zero was there to comfort her, that just wouldn't be enough to keep here out of pain. That could give him motivation to stay alive, so she never has to feel the pain of losing the one you love, he knows it well.
- There's the theory that the girl from Kaname's memories is Yuuki.
If it is true he may be planning a reverse situation replay. Yuuki will be the one to stay alive and he will be the one to sacrifice himself this time.
But....that seem's foolish to me and Kaname is a highly intelligent man. When his love did that he sunk into despair and didn't even want to live because of that. He understands how horrible it feels to go through that. I don't see him doing it because he wouldn't want Yuuki to be pained if he loves her so much. I don't think he'd be foolish enough to think if other's were there to care for her that the chances of her not wanting to go on wouldn't be possible, they would. It could also make her lose all feelings for Zero if he made such a sacrifice for her. She may love only him from it and want to die with him.
There is a chance he could erase her memories so she doesn't remember to feel pain, but there is also the high chance that in time she would start to remember...again. Even with memories gone I wouldn't find it unlikely she'd feel as if something important was missing and feeling troubled by it.
There's also the factor that in a lot of story lines the past doesn't tend to be repeated. The whole "learn from the past" thing would make it better to find a more desirable solution that ends with neither of them having to be apart and neither of them having nothing but despair haunting them.
- Kaname has stated countless times that he would rather die than lose Yuuki. If Yuuki picks Zero, which I find unlikely, he may kill her and then himself or just himself.
I don't think there is any chance Yuuki would pick Zero over him, honestly. It's not because I'm a huge fan of Yuuki x Kaname, but because of all their history. Even if Zero has a part of her heart, she loved Kaname first and know's she belongs with him. It's what's natural. Especially because of all he did for her. She'd never turn her back on him for that.
Hell, he lied and told her he killed Sara's fiance and she still plans on waiting for him to return to her. Her mind if set on him no matter what he does because she has faith in him.
There's also the point he has felt nothing but despair for so so long. It just wouldn't seem fitting for his character to die even if it was for a "greater good" type of cause. He deserves to find happiness and have a peaceful life without sorrow for once.
An ending of him dying no matter how it was done wouldn't be satisfying for me.
No matter how much of a hero he dies as it would give off the message that no matter how much you suffer you will never have a happy future. A noble death may seem glorifying, but when you take his whole background into accounting it seems nothing more than a slap in the face for an ending. Unpleasant.
Even upon knowing this, there is still a small bit of fear that lives in my heart for him to have that horrid ending.
I have faith Hino won't do that to her characters like some other mangaka's have done, though.
There have been moments where I have felt something bad was going to happen, but in the end she's always came through and pleased me.
I'm hoping that chain will continue with the matter of Kaname's life.