The Future of DeFi is Omnichain.
The problem? Liquidity is fragmented.
One protocol has developed a unique solution that could be a game changer.
And their TVL has gone up by 924% in the past month.
Here's your guide to Radiant Capital:
Let’s dive in…
RDNT
Price = $0.43
DeFi Lending
Market cap = $110m – Rank 291
All time high = $0.585268 (-25.9%)
All time low= $0.01116600 (3,783%)
One of DeFi’s main problems is fragmented liquidity. Chains are siloed and it is hard to move between.
Radiant aims to solve that by providing the first omni chain lending and borrowing protocol. This means you can
Deposit collateral (e.g. USDC on Arbitrum)
Borrow e.g. ETH on Polygon or wBTC on BNB chain etc.
The app is live on Arbitrum and BNB chain and you can currently borrow/ lend the following assets.
Revenue
Amongst other lending protocols, Radiant comes in 1st overall for 7-day revenues. Over the last 24hrs numbers are …
Revenue = $43.5k
Fees = $87k
Since the start of the year, you can see a strong trend up in both fees and revenue.
9 for Revenue.
Treasury
The Radiant DAO Treasury wallet has the following holdings
0x750129c21c7846CFE0ce2c966D84c0bcA56584970x750129c21c7846CFE0ce2c966D84c0bcA5658497
As mentioned in their docs, the team have not decided how they will utilise their allocated ARB.
8 for Treasury.
Tokenomics
The initial distribution of $RDNT is as follows.
54% - Incentives for suppliers and borrowers
20% - Team
14% - Radiant DAO Reserve
7% - Core contributors and advisors
3% - Treasury & LP
2% - Pool 2 liquidity providers
RDNT is the native utility token and has a few main use cases.
For RDNT lockers
Lock $RDNT liquidity
Access boosted emissions
Accumulate tokens
For Lenders & Borrowers
Lend collateral
Borrow & bridge cross-chain
Leverage collateral
8.5 for Tokenomics.
Locked up funds
These are the current supply stats
Initial supply = 1b
Circulating supply = 257m
Market cap = $114.5m
FDV = $445.4m
Market cap/ FDV = 0.26
So far, only 26% of tokens are in circulation as the protocol is quite young.
The remaining tokens are to be fully unlocked by July 2027. There are no major vesting cliffs and the remaining tokens to be gradually distributed over 5 years.
7.5 for Locked up funds.
Use case
Total TVL is sitting at $230m- a new ATH and has been in a strong uptrend during 2023. Amongst other lending protocols, RDNT comes in 6th place (behind AAVE, JustLend, Compound Finance). However, RDNT has seen +924% 1mo growth in TVL… impressive.
To put it into context, Tradfi lending is estimated to be a +$300 trillion business, while DeFi lending is only around $15.5 billion (19,000 times smaller). Even if DeFi is to capture a small % of this market, it is primed for huge growth.
Radiant is one of the fastest growing DeFi lending products and their omni-chain lending could bring together previously fragmented liquidity. They have positioned themselves well to benefit from the eventual shift to on-chain lending.
8.5 for Use case.
Roadmap
Radiant V2.0 was recently released and involved the migration to the Layer0 OFT format. Delivering the following benefits
Improving cross-chain fee sharing
Enabling faster launches on additional chains
Allowing native ownership of bridging contracts
Future upgrades planned include
Radiant 3.0- Forego STG for full LayerZero implementation
Radiant 4.0- Become the “LayerZero” for liquidity & yield
8 for Roadmap.
Team & funding
Radiant Capital’s team is small but growing rapidly. Funding for Radiant was completely bootstrapped by the team. There was no private sale, IDO, or VC involvement.
Radiant have several key working partnerships including
LayerZero
Chainlink
Lido
Arbitrum
Balancer Labs
8.5 for Team & Funding.
Summary
TLDR summary for each category’s score out of 10.
8.5 - Revenue – $43.5k daily revenue
8 - Treasury– $58m in Treasury
8.5 - Tokenomics – Real yield paid to RDNT lockers
7.5 - Locked up funds – 26% tokens in circulation (1B max supply)
8.5 - Use case – $230m TVL, Omnichain lending
8 - Road map – V2 just released (Arb & BNB chain)
8.5 – Team & funding – No private sale, VC or IDO.
TOTAL- 8.4 weighted avg. score
https://docs.google.com/spreadsheets/d/1mPGbrsSEqBCN4lTVIIfdu3UzhZVqGP6LWMXlJrWJ5RE/edit#gid=0
Radiant Capital is one of the fastest growing borrowing & lending protocols. It promises to unify the billions in fragmented liquidity across Web3 money markets.
I think there is huge runway for growth in the DeFi lending & borrowing space and there will be a flywheel effect as more assets move on-chain and adoption increases.
The purpose of this thread is for education and research- not financial advice. Always DYOR before Apeing in. Here is a framework I prepared earlier. The current macro conditions are still very choppy so stay safe out there frens. (This is NOT a paid thread or sponsorship).
https://twitter.com/jake_pahor/status/1603039685609152515?s=20&t=7ffpmNn4CGlUR9pBxRWpvA
Tagging some other accounts to follow if you are interested further.
Nice rundown on $RDNT, thanks. What does it mean for Stargate finance that Radiant will forgo $STG ? Also, not quite sure how Stargate and Radiant are connected.
Any help sorting it out? Appreciate it!