Crypto lending protocol Radiant Capital says it will begin shutting down after failing to establish a “realistic development path” after North Korea tapped it for $50 million in October 2024.
Radiant’s decentralized autonomous organization he said on Monday in a blog post, it said its inability to recover stolen funds, secure recent capital and maintain a runway to continue operating responsibly forced it to suspend operations.
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Source: Radiant capital
Radiant launched in 2022 and was intended to be a single platform providing liquidity to several blockchains. In 2023, it has grown rapidly and its total value has reached a high level $386.8 million in December 2023, even though the value locked in the cryptocurrency market decreased.
The North Korean group Lazarus exploited Radiant in October 2024, and its TVL dropped to $75 million, then dropped further to $5 million within a month of the hack, and never recovered.
Radiant does not turn off completely
Radiant said that instead of shutting down completely, it will enter a “maintenance state” in which the protocol’s interface will remain online, its clever contracts will remain accessible and users will be able to withdraw, repay and manage their positions.
However, its decentralized autonomous organization will no longer contribute to development, modernization or expansion.
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“Users are encouraged to actively manage risk and reduce exposure,” it said.
Source: Radiant capital
Radiant said it will continue recovery efforts following the breach, keeping the recovery portal open and refunding any recovered funds to affected users.
Radiant Capital token (RDNT) fell 4.2% after news of its liquidation became available. In September 2022, the token reached an all-time high of 58 cents, but is currently trading for a fraction of a cent.
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