Raydium is an automated market maker (AMM) and liquidity provider operating on the Solana blockchain, where it serves as a core component of the decentralized exchange (DEX) ecosystem. Rather than functioning as a standalone AMM, Raydium supplies on-chain liquidity directly to a central limit order book, giving its liquidity providers access to the broader order flow and liquidity available across the network. The protocol is designed to act as an on-ramp for new and existing projects entering the Solana ecosystem, bridging outside teams and capital with the underlying infrastructure. Through this role, Raydium supports activities such as yield farming, token launches via its launchpad, and perpetual futures trading, all of which fall under the umbrella of decentralized finance (DeFi). The native token, RAY, functions as the utility and governance asset of the platform. It is used to align incentives between the protocol, its liquidity providers, and the wider community, and forms part of established market indices that track the DeFi sector, including GMCI's DeFi and broader index baskets.
The vulnerability sat in a deprecated pool program, not the live mainnet — but the attack shows how legacy Solana AMM code keeps paying out years after the protocol moved on.
Raydium is an automated market maker (AMM) and liquidity provider built on the Solana blockchain for the Serum decentralized exchange (DEX).
Raydium (RAY) is categorised as: Decentralized Exchange (DEX), Exchange-based Tokens, Decentralized Finance (DeFi).
The official Raydium site is https://raydium.io/.
Most recent Raydium coverage: "Raydium Legacy AMM V3 drained for $1.34M via LP-mint flaw" — read at /en-US/a/raydiums-legacy-amm-v3-exploited-for-134m-via-lp-mint.
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