The Radiant team realized the exploit had severely undermined the DAO’s sustainability. We explain what happens next.
DeFi protocol Radiant Capital has announced the winding down of its DAO operations and the cessation of active development. The decision comes 18 months after a major exploit in October 2024, in which hackers stole approximately $50 million.
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The protocol team was unable to recover the stolen funds, attract new capital, or ensure operational sustainability. Radiant’s TVL collapsed from $386M to $5M immediately after the hack and never recovered. This made further DAO operations impossible.
What Is Happening With the Radiant Protocol?
Radiant Capital is not closing entirely but is moving into maintenance mode until the end of 2026:
- Users will be able to withdraw funds, repay loans, and manage open positions
- Smart contracts and the frontend will remain accessible
- RDNT token emissions have ceased
- Borrowing functionality has been disabled on all markets
- The compensation portal for affected users will continue operating indefinitely
The team emphasized that cooperation with zeroShadow to track and recover stolen funds will continue.
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Market Context: DeFi Hacks Are Increasing
In 2024, Radiant Capital suffered two serious attacks. In January, there was an exploit of approximately 1,900 Ethereum (ETH), and in October, the main $50M blow. Afterward, the protocol’s TVL collapsed from hundreds of millions to just a few million dollars.
According to DefiLlama, total DeFi losses from hacking attacks since 2020 have exceeded $17B. In April 2026 alone, hackers stole hundreds of millions of dollars, including a record $293M exploit of Kelp DAO.
Experts note the increasing use of AI by hackers to find vulnerabilities in smart contracts. Many older protocols, especially those launched in 2022-2023, are notwithstanding the current threat level, leading to project shutdowns or complete closure.
Learn more: What Is Crypto Cybersecurity? The Ultimate Guide to Protecting Digital Assets
