Radiant Capital suffers a $50M cyberattack, suspends markets, and enlists external security experts to recover stolen funds and strengthen security.
Radiant Capital, a cross-chain lending platform supported by Binance Labs, has been targeted in a cyber attack, resulting in over $50 million in losses. The hack, confirmed by Web3 security firm Ancilia, exploited vulnerabilities in the platform’s smart contract systems. Radiant Capital is known for supporting decentralized finance (DeFi) applications. Nowvit faces one of the largest hacks in the DeFi sector.
The attacker had full access to the multiple signers’ private keys, allowing him to alter the smart contracts. Consequently, the hacker’s wallet was filled with more than $32 million in Arbitrum-linked tokens and approximately $18 million in BNB Chain tokens. These stolen tokens include wrapped BNB, ETH, USDT, and USDC.
Radiant Capital quickly identified suspicious transfers from users’ accounts via a specific contract address (0xd50cf00b6e600dd036ba8ef475677d816d6c4281). Users were informed to revoke their approvals as a precaution since the team believed there was a weakness in the new way how the platform was developed. The built-in security measures of the protocol had been evaded due to a backdoor contract, and the attacker stole $51 million worth of assets.
The most stolen ether derivatives were wstETH and weETH, most of which were stored on the Arbitrum and BNB Chain. This means the breach was precise, and advanced methods were employed.
Radiant Capital Suspends Markets After $50M Hack
Subsequently, Radiant Capital stopped all its markets on Base and mainnet in reaction to the breach. It also revealed that it has hired outside security consultants to investigate the incident more deeply. Besides its internal actions, Radiant is working with BNB Chain and Arbitrum teams to find out how the exploit occurred and how the stolen funds can be recovered.
The hack also severely affected Radiant Capital’s native token, RDNT. After the breach, the token declined by nearly 6%, reaching a low of $0.067.
During the investigation, Radiant Capital continues improving its structure’s security. The platform is designed to avoid such attacks in the future and guarantee that similar vulnerabilities are not exploited. On the other hand, the users must be cautious and adhere to all the security measures the team provides.
