Deep Dive
Overview:
Radiant’s October 2024 exploit ($53M stolen, now $94M via ETH trades) triggered a multi-phase recovery plan. The DAO approved Q3/Q4 2025 user reimbursements and a “Guardian Fund” for future protections. Enhanced multi-sig controls and audits aim to prevent repeat breaches (Radiant Capital).
What this means:
Successful payouts could restore confidence, but lingering reputational damage and potential sell pressure from the hacker’s remaining 14,436 ETH ($58M) pose risks.
2. Ethereum Dependency (Bearish Risk)
Overview:
Radiant’s lending pools rely heavily on ETH-collateralized assets. ETH’s 78% rally since June 2025 lifted protocol TVL, but the hacker’s DAI conversions (43.9M DAI sold) signal a strategic shift that could pressure ETH liquidity.
What this means:
ETH price volatility directly impacts Radiant’s collateral health. A downturn might force liquidations, while sustained ETH strength could boost borrowing demand.
3. DeFi Competition & Innovation (Neutral)
Overview:
Radiant’s “Innovation Zone” (audited, pending launch) and 1-click “UNWIND” feature aim to differentiate it in a crowded lending market. However, rivals like Aave and Compound dominate TVL and governance activity.
What this means:
New features may attract niche users, but Radiant’s $26M market cap and -75% annualized returns suggest uphill adoption challenges.
Conclusion
RDNT’s path hinges on executing its security roadmap amid ETH’s price swings and DeFi’s maturity. While reimbursement progress could ease sell-side anxiety, the protocol’s recovery narrative competes with systemic risks. Will Q3 payouts catalyze a credibility rebound, or will hacker-linked ETH sales overshadow progress?