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

Radpie, as the "Convex" of RDNT, is about to launch, and this new project has attracted widespread attention in the market. With multiple favorable factors supporting it, can Radpie replicate or even surpass the successful performance of PNP? This article will delve into the mechanisms, advantages and disadvantages, narrative tags, and participation methods of Radpie.

Radpie Mechanism Analysis

The relationship between Radpie and RDNT is similar to that between Convex and Curve. The cross-chain lending protocol Radiant has certain restrictions on liquidity incentives, requiring users to indirectly lock a certain proportion of RDNT to obtain mining rewards. Specifically, users need to hold dLP equivalent to 5% of the deposit amount (80% RDNT / 20% ETH Balancer pool LP). This mechanism provides good sustainability for RDNT, as users provide long-term liquidity for RDNT while mining.

The core function of Radpie is to raise dLP and share it with DeFi miners, allowing them to participate in mining without directly holding RDNT. This is similar to the Convex model of sharing veCRV. The raised dLP will be converted into mDLP tokens, similar to how CRV is converted into cvxCRV through Convex.

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

However, unlike Pendle/Curve, Radiant's incentive distribution is not currently determined by voting, thus lacking the bribery income component. However, Radiant has clearly stated that it will continue to promote DAO development, and in the future, governance rights are expected to gain more value. Naturally, Radpie, as a large holder of governance rights (dlp), may also benefit from this.

Analysis of Product Advantages and Disadvantages

As a project that stands on the shoulders of giants, Radpie has relatively clear upper and lower limits. In a horizontal comparison, Aura's 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 dollars and has been listed on Binance, Radpie's valuation is also relatively comparable. Following the consistent style of the Magpie sub-DAO, the FDV of the Radpie IDO is expected to be below 10 million dollars, providing some profit space for IDO participants.

The disadvantage is that Radpie does not have the horizontal scalability of the parent DAO Magpie. However, it will benefit from the internal and external circulation system of Magpie's sub-DAOs.

Narrative Tag

Radpie's main narrative tags include LayerZero, ARB airdrop, supranational leveraged governance, internal and external dual circulation, and sub-DAO 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 a portion of the obtained ARB to new locked and existing dLPs, and Radpie is expected to participate in sharing this substantial airdrop.

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

4. Dual Circulation: This is a unique system created by Magpie using the sub-DAO model for expansion under the governance track. The inner circulation refers to the token emissions remaining within the Magpie system, reducing net external expenditure; the outer circulation refers to cost reduction and efficiency improvement through resource sharing among multiple projects.

5. SubDAO: Inherit the reputation of the parent DAO, fully leverage the advantages of Tokenomics, and provide more investment options for the market.

Participation Method

The main ways to participate in the Magpie IDO are:

1. Long-term participation: Buy and hold vlMGP to participate in all future sub-DAO IDOs of Magpie.

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

It should be noted that mDLP/DLP is similar to cvxCRV/CRV, which is a soft peg rather than a hard peg, and it may not maintain a 1:1 ratio upon exit.

Summary

Radpie, as the "Convex" of RDNT, has the greatest advantage of low valuation and backing by a strong foundation. It features five narrative tags: LayerZero, ARB airdrop, super-sovereign leveraged governance, internal and external dual circulation, and sub-DAO. The IDO participation methods are diversified, catering to investors with different risk preferences.