dLP Architecture
80/20 [Arbitrum + Ethereum]
Radiant adopted the 80/20 model after RFP-3 ratification.
This model is currently active on Arbitrum, Ethereum, and Base, with some tweaks on the latter, which are addressed below.
In this model, users provide liquidity in a proportion of 80% RDNT and 20% ETH. Users can also use the ZAP function to create the LP with one token. You can find more information about the ZAP function in its respective section.
Zapping dLPFor more details about the 80/20 model, visit this Balancer Medium article.
50/50 [BNB Chain]
For the BNB chain, Radiant uses the 50/50 pool on PancakeSwap. This model pairs 50% of RDNT with 50% of BNB.
Users can also use the ZAP function to create the dLP position.
Dynamic Uniswap v3 [Base]
Disclaimer
The staking token on Base is initially deployed at a 50/50 full range, with plans to shift to an 80/20 range (in alignment with the Arbitrum and Mainnet Balancer configurations), and implement an automated pool manager. Click here to learn more about Univ3 concentrated liquidity.
Radiant is introducing an important update to the dLP architecture on Base, shifting to a Uniswap v3 concentrated liquidity model.
In the new system, you can provide liquidity in a more flexible way.
You can deposit RDNT or WETH individually(or both). Although this was already possible through the ZAP function in other chains, it works slightly differently in this deployment.
When you deposit assets, you will receive your full dLP tokens as a “receipt” of the liquidity you provided. However, your assets don’t go straight into the liquidity pool (as in the other dLP models). Instead, they sit in a liquidity manager contract. This means that assets will be matched and deployed into the liquidity pool in the correct ratio only after a rebalancing process.
Due to this new architecture, the only way to obtain eligible dLP tokens on Base is via zapping through Radiant's front end. DO NOT create liquidity directly on Aerodrome, as their returned NFT is not compatible with the RDNT protocol and it will not allow you to earn protocol revenue or RDNT rewards.
At launch, for simplicity, the system will deploy as a 50/50 pool. Over time, it will transition to an 80/20 concentrated position, as the system adjusts the RDNT/WETH composition towards the target ratio. However, some slight variations in the exact ratio may occur due to the nature of Univ3 architecture.
To manage the flow of assets, there can be limits on how much of each asset you can deposit.
For example, if there is a limit of 10 ETH, you won’t be able to deposit more than that amount.
This update improves flexibility and efficiency in providing liquidity. However, it also means that some internal management handles and rebalances assets. Users don’t need to worry about any of this, as it is all taken care of by the smart contract logic. It’s good to be aware that there might be slight differences between the dLP tokens and the actual liquidity available in the pool.
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