Radiant Capital Struggles to Recover After $53 Million Attack

Radiant Capital, a cross-chain lending protocol, is currently grappling with the aftermath of a major security breach that resulted in the loss of millions in funds.

Despite ongoing efforts to recover stolen assets and secure external resources, the platform has admitted that little progress has been made so far. The team has outlined plans for the future, focusing on restoring the protocol and ensuring its long-term recovery.

A significant part of Radiant Capital’s strategy involves preparing a proposal for a second DAO vote, aimed at improving the protocol’s framework. The community will have the opportunity to vote on one of three proposed recovery strategies, and their feedback will play a crucial role in shaping the platform’s future direction.

The protocol is focusing on rebuilding its financial foundation to provide modest refunds to affected users and set the stage for recovery. In addition, the team is actively pursuing partnerships to attract new capital and resources that could aid in the recovery process. At the same time, Radiant is developing a comprehensive plan to ensure the protocol’s future stability and attract fresh investment.

In response to the attack, Radiant Capital has announced plans to elect a new community council, replacing the original council, with elections to be held annually. This decision follows the October 2024 attack, which was the second of the year for the protocol. The first attack, a flashloan exploit, saw a loss of $4.5 million, while the more recent breach resulted in a far larger loss, estimated at $53 million.