Radiant CapitalPrice

(RDNT)

Radiant Capital is a cross-chain DeFi lending protocol striving to be an "omnichiain money market." Its core function is to enable users to deposit crypto assets on one blockchain and borrow different supported assets across multiple other chains without friction. The project's primary goal is to unify fragmented liquidity dispersed across various blockchain networks, including Ethereum, Arbitrum, BNB Chain, and Base, simplifying the lending and borrowing experience in the decentralized finance space.

Radiant Capital functions as a decentralized borrowing and lending platform leveraging LayerZero technology for cross-chain interoperability and Stargate's stable router for efficient asset transfers. This architecture allows users to deposit assets on one chain, such as wrapped Bitcoin on Arbitrum, and borrow other assets like USDC on BNB Chain, eliminating the need for manual bridging. To manage $RDNT token inflation and incentivize participation, the protocol introduced Dynamic Liquidity Provisioning (dLP) in its v2 upgrade. Users must maintain a minimum 5% threshold of locked dLP relative to their total deposit value to earn $RDNT emissions.

The RDNT token is the native cryptocurrency of the Radiant Capital ecosystem, serving several key functions. Holders can participate in the Radiant DAO for governance, voting on proposals, risk parameters, and protocol upgrades. It also acts as a reward and incentive mechanism for liquidity providers and borrowers, with emissions subject to a 90-day vesting period. Furthermore, RDNT facilitates fee sharing, where 60% of platform fees, derived from borrowing interest and flash loan fees, are distributed to locked RDNT stakers. Additionally, RDNT tokens are used to cover fees within the Radiant Capital platform.

Radiant Capital faces several security concerns and risks. While audits by Blocksec, PeckShield, and Zokyo reported no critical flaws at the time, the protocol experienced a significant security breach in October 2024. This exploit, reportedly linked to its multi-signature wallet, resulted in substantial asset losses and led to a trading suspension by South Korea's Digital Asset Exchange Association (DAXA). Other risks include the anonymity of the 16-member team, potential liquidation risks for RDNT stakers and borrowers, and concerns about trust assumptions within its cross-chain oracle and relayer architecture. Like any decentralized finance protocol, it also carries inherent smart contract vulnerability risks.

Radiant Capital’s tokenomics include Dynamic Liquidity Provisioning (dLP), designed to manage $RDNT inflation and boost user engagement. This system requires users to lock a percentage of RDNT/ETH or RDNT/BNB dLP tokens to qualify for emissions. Concerns about sustainability have been raised regarding its Fully Diluted Valuation (FDV) versus Total Value Locked (TVL), with some analyses suggesting the FDV is higher than its TVL compared to other leading lending protocols. The $RDNT token has also experienced considerable price volatility, prompting discussions about potential market dynamics.

Governance on Radiant Capital is conducted through a Decentralized Autonomous Organization (DAO). RDNT token holders are empowered to participate in shaping the protocol's future by proposing and voting on various initiatives. To become a member of the DAO and exercise these voting rights, the only prerequisite is to hold RDNT tokens locked within Radiant's MultiFeeDistribution smart contract, ensuring that those with a vested interest in the ecosystem can contribute to its direction.