DeFi, or decentralized finance, has revolutionized the way we think about financial transactions. It has given individuals the power to control their assets and earn profits without the need for intermediaries. However, one major challenge facing the DeFi sector is fragmentation across different chains, resulting in a suboptimal borrowing and lending experience. This is where Radiant Capital comes in.
Radiant Capital is a DAO (decentralized autonomous organization) that aims to be the first omnichain money market, enabling users to deposit any major asset on any major chain and borrow a variety of supported assets across multiple chains. Radiant's primary goal is to consolidate the $22 billion of fragmented liquidity currently dispersed across over ten alternative layers.
Lenders who provide liquidity to Radiant capture added value from the community's engagement through the native token, $RDNT. Meanwhile, borrowers can obtain liquidity without selling their assets and closing their positions. Radiant removes middlemen from asset trading, futures contracts, and savings accounts.
Radiant has been eight months in the making, and its DAO strives to invent a new and necessary DeFi primitive. The platform's cross-chain interoperability will be built atop Stargate's stable router interface, and lenders who wish to reclaim their collateral will be able to direct which chain to withdraw funds to and what percentage they'd like sent to each chain.
Radiant v2 will allow for full cross-chain borrowing/lending on BTC, ETH, and USDC, followed by the gradual rollout of additional assets voted on by the Radiant DAO. The platform focuses on core offerings that are resilient to oracle manipulation and leverages the $2M+ already spent on security audits executed by Layer Zero & Stargate. Radiant itself has been fully audited by top security firms.
The Radiant DAO utilizes the native utility token, $RDNT, with emissions allocated to users who provide utility to the platform as lenders, borrowers, and RDNT/WETH liquidity providers. The community votes on important measures using Snapshot, and users can capture added value from the community's engagement through the native utility token $RDNT from borrowers and platform fees.
Radiant also utilizes an incentivized WETH-RDNT liquidity pool, and users with vesting RDNT share platform fees generated from borrowers. Locked RDNT will continue to share fees even after the locks expire, even if the user does not withdraw their balance.
In conclusion, Radiant Capital is a game-changer for DeFi. By enabling cross-chain borrowing and lending, it eliminates the need for users to navigate through a series of cumbersome transactions across multiple user endpoints. Radiant's focus on core offerings and security makes it an attractive platform for lenders and borrowers alike. With Radiant, welcome to an omnichain future.
