Crypto bridges struggled in the first quarter, as bad actors exploited several for personal gain. One of those unlucky projects was Wormhole Finance, which succumbed to a hack in February 2022. However, the project isn’t letting that keep it down. Developers are instead pressing ahead by way of a native Wormhole crypto launch.
Back in February, news broke that a hacker was able to steal $325 million in crypto assets from Wormhole. At the time, it was the largest hack of the year, and it remains one of the largest blockchain hacks ever. The hack came after a GitHub update in which developers addressed a security issue before actually implementing the solution. A bad actor was able to use the information to exploit the issue before it was patched.
In the weeks following the hack, though, Wormhole has been hard at work, pushing through the volatility. One project, Jump Crypto, is helping to alleviate the turbulence by replenishing the lost funds. Now, an incoming token launch could give the project an opportunity to leave the incident totally behind it.
Wormhole Crypto Launch: What to Know
- Wormhole’s claim to fame is that it bridges Solana (SOL-USD) with various other DeFi tools. With a total value locked (TVL) of $3.7 billion, the project is one of the largest DeFi protocols on Solana.
- Wormhole developers decided to launch the Wormhole crypto in the days immediately following the hack, with documentation detailing the sale dated just two weeks after the event.
- These documents, obtained by crypto news outlet The Block, provide many of the details into the yet-to-be-announced sale.
- Most notably, The Block alleges that the initial launch of the crypto will be through a private sale to institutional investors.
- Developers could offer up 750 million tokens, which make up 7.5% of the project’s total supply.
- Tokens will list at 25 cents. If the project offloads all of the tokens offered, it will bring in a profit of nearly $190 million. It would also lift the valuation of the project to a hefty $2.5 billion.
- Developers will lock the tokens sold through this first sale, unlocking them a year after the full launch of the Wormhole crypto.
- As of yet, there is no confirmed date for the launch, although it is believed to be coming soon.
On the date of publication, Brenden Rearick did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.