Radpie: RDNT's new "Convex" product is about to launch

Radpie, as an "Convex" type product of RDNT, is about to be launched. Can this new product replicate or even surpass the success of PNP? This article will detail the operation mechanism of Radpie, its advantages and disadvantages, relevant narratives, and participation methods.

Radpie Operating Mechanism

The operational model of Radpie is similar to the relationship between Convex and Curve. Radiant, as a cross-chain lending protocol, has implemented some liquidity incentives that require users to indirectly lock a certain percentage of RDNT to obtain mining rewards. Specifically, users need to hold dLP tokens equivalent to 5% of their deposit amount, which is an LP token from a Balancer pool consisting of 80% RDNT and 20% ETH.

The role of Radpie is to collect dLP and share it with DeFi miners, allowing them to participate in mining without directly holding RDNT. This mechanism is very similar to Convex's sharing of veCRV. The collected dLP will be converted into mDLP tokens, akin to the process where CRV is converted into cvxCRV through Convex.

For RDNT holders, dLP can be converted to mDLP through Radpie, allowing for high returns while maintaining RDNT positions. This is also beneficial for the Radiant project, as the conversion to mDLP will be permanently locked, supporting the long-term liquidity of RDNT and helping to attract more lightweight users.

However, unlike Pendle or Curve, Radiant currently does not decide incentive distribution through voting, thus missing out on the bribery income part. However, Radiant has indicated that it will continue to advance DAO construction, and governance rights may gain more value in the future. As a large holder of governance rights (dlp), Radpie is also expected to benefit from this.

Analysis of Product Advantages and Disadvantages

Radpie, as a product built on mature projects, has a relatively clear development prospect. In horizontal comparison, Aura's fully diluted market value (FDV) is about 35% of Balancer's, while Convex is 14% of Curve's. Considering that RDNT is a project with an FDV of 300 million USD and has already been listed on Binance, Radpie's valuation also has a certain degree of comparability.

The main disadvantage of Radpie is that it lacks the horizontal expansion capability of its parent DAO, Magpie. However, it will benefit from the internal and external circulation system between the various sub-DAOs of Magpie.

Related Narrative Tags

The main narrative tags of Radpie include LayerZero, ARB airdrop, super-sovereign leveraged governance, internal and external dual circulation, and subDAO model.

1. LayerZero: RDNT is a well-known LayerZero concept coin, and Radpie will also utilize LayerZero to achieve cross-chain interoperability.

2. ARB Airdrop: The RDNT DAO has decided to airdrop part of the obtained ARB to the new locked and existing dLP, and Radpie is expected to participate in sharing this airdrop.

3. Supranational Leverage Governance: A large amount of RDP will be allocated to the Magpie treasury, and the profits generated from these tokens will be distributed to MGP holders, while MGP holders can also participate in the decision-making of Radiant DAO through the controlled RDP.

4. Dual Circulation: This is a unique system generated by Magpie's use of the subDAO model for expansion in the governance track, which includes internal resource circulation and external resource sharing among multiple projects.

5. subDAO: This model can inherit the reputation of the parent DAO, fully leverage the advantages of Tokenomics to achieve growth, and provide more investment options for the market.

How to Participate in the Magpie IDO

There are mainly two ways to participate in the Magpie system IDO:

1. Long-term holding: By purchasing and holding vlMGP, you may participate in all future subDAO IDOs of Magpie. However, this method is greatly affected by the price fluctuations of MGP.

2. Short-term arbitrage: By borrowing RDNT or shorting contracts to hedge, participate in the mDLP Rush event to convert DLP into mDLP, while also obtaining RDP airdrop and IDO shares.

It is important to note that the price relationship of mDLP/DLP is similar to that of cvxCRV/CRV, as it is a soft peg rather than a hard peg, and it may not maintain a 1:1 ratio upon exit.

Overall, Radpie, as the "Convex" product of RDNT, has the greatest advantage of being undervalued and backed by a solid foundation. It features multiple narrative tags such as LayerZero, ARB airdrop, super-sovereign leverage governance, dual circulation both internally and externally, and subDAO. The ways to participate in the IDO are diversified, with suitable strategies for both long-term investment and short-term arbitrage.