Original - Odaily

Author - Asher

On the evening of February 7, Wormhole, which completed $225 million in financing at a valuation of $2.5 billion, released the economic model of token W on its official , 000 W) will be distributed to the community (as shown below). As soon as this news came out, it was great news for the hair-raising party. Below, Odaily will take you to understand Wormhole and its token economy.

Wormhole comprehensive analysis

Introduction

Image source:Official recommendation

Wormhole is a decentralized universal messaging protocol that enables developers and users of cross-chain applications to take advantage of multiple ecosystems.

The project was launched by blockchain infrastructure company Certus One in October 2020 and initially took the form of a token bridge built directly between the Ethereum and Solana ecosystems. Jump Crypto internal developers launched the second version of the protocol in August 2021, leveraging a network of Proof-of-Authority (PoA) guardians as oracles and a network of permissionless relayers to transmit messages across chains. It supports seven different blockchains, including Solana, Terra, Avalanche, Ethereum, Oasis, Binance, and Polygon. Around the same time, Certus One was acquired by Jump Crypto.
In February 2022, Wormhole suffered a hacker attack, resulting in a loss of up to 120,000 ETH (worth approximately $326 million at the time). This was one of the largest such hacker attacks on record. Subsequently, on February 4, 2022, Jump Crypto announced that it would invest 120,000 ETH to make up for the losses caused by Wormhole’s theft and support the continued development of Wormhole.

The good news is that in less than a month, Jump Crypto successfully obtained 120,000 ETH from the Wormhole attacker’s vault by working with Oasis to transfer collateral and debt from the attacker’s vault to itself treasury.

Official Twitter:https://twitter.com/wormholecrypto；

Official website:https://wormhole.com/。

Financing situation

On November 29, 2023, Wormhole completed US$225 million in financing at a valuation of US$2.5 billion. There was no leading investor in this round of financing, consisting of Brevan Howard, Coinbase Ventures, Multicoin Capital, ParaFi, Dilectic, Borderless Capital, Arrington Capital, and Jump Trading participation. This is also the largest round of financing for cryptocurrency projects in 2023.

In addition to raising $225 million, the team behind Wormhole also announced the establishment of a new company, Wormhole Labs, to assist in the development of new protocols.

Image source:rootdata

Token economic model

According to the official document released by Wormhole, its native token W is an ERC-20 token. The total supply of tokens is 10 billion, and the initial circulation is 1,800,000,000. The specific distribution ratio is as follows:

• Guardian Node: 510,000,000 W, accounting for 5.1% of the total supply. Guardian nodes provide the primary verification mechanism for any messages passing through Wormhole. Among them, the token supply allocated by Guardian will not be unlocked on TGE, but these tokens are subject to the token release schedule;

• Community Initial Release: 1,700,000,000 W, 17% of total supply. Of this, 11% of the total supply (1, 100, 000, 000 W) will be unlocked in TGE and will be distributed during the initial phase of TGE, including TGE-related airdrops (and related activities), and the remaining 6% ( 600, 000, 000 W) will be unlocked within four months after TGE. Snapshots of this airdrop were taken prior to the publication of this blog;
  

• Ecology Incubation: 3, 100, 000, 000 W, accounting for 31% of the total supply. This section is allocated to strategic contributors to the Wormhole ecosystem. Including community organizations, developer community growth plans, etc. 5% (500, 000, 000 W) will be unlocked on TGE and the remaining 26.1% (2, 610, 000, 000 W) will be unlocked thereafter;

• Core Contributors: 1,200,000,000 W, 12% of total supply. This part of the tokens will not be unlocked on TGE, but will be unlocked according to the token release schedule;
  

• Strategic Network Participants: 1,160,000,000 W, 11.6% of total supply. Similar to core contributors, the tokens of strategic participants will not be unlocked on TGE and will be unlocked according to the token release schedule;

• Foundation Treasury: 2,330,000,000 W, accounting for 23.3% of the total supply. This portion of the token supply is dedicated to the Wormhole Foundation’s reserves. 2% of the foundation’s treasury (200,000,000 W) will be unlocked on TGE, and the remaining 21.3% (2,130,000,000 W) of tokens will be unlocked linearly according to the token release schedule.
  

Image source:Official documentation

W Token Release Form

Official document link:https://wormhole.com/wormhole-w-tokenomics/。

community sentiment

As soon as the news of the Wormhole token model came out last night, major communities believed that this token airdrop might be a big hit in 2024. Users who participated in the interaction felt:

• Good news: Wormhole is about to issue coins. 11% of the community airdrops are TGE unlocks and have been snapshotted; bad news: if you have not interacted with it, it is bad news.

• “The number of addresses used to brush Wormhole is 91K. Considering that the address data may not be updated, there may be 150K addresses used to brush Wormhole! If Wormhole FDV reaches 10 billion U.S. dollars, the 11% directly released by the airdrop will be 1.1 billion U.S. dollars. In this way, on average, each address will airdrop 7333 U.S. dollars! If that’s the case, that would be really awesome! I hope I can qualify!”

• "11% is directly airdropped to the community. The number of users is only 1/8 of LayerZero. There are very few brushes and it is expected to be super hairy. I wish everyone a happy New Year!"