Wormhole Token Economics and Airdrop Rules
Authored by: Peng SUN, Foresight News
Launched in October 2020, encountered a $326 million hacker attack in February 2022, and completed a $225 million financing in November 2023. After enduring criticism as a flawed cross-chain bridge and evolving into a universal messaging protocol, Wormhole has survived for over three years and has become a “super big hair” in the eyes of “electronic beggars” in the new bull market.
Today, Wormhole officially announced the airdrop distribution rules for its native token W. The total supply is 10 billion tokens, of which approximately 617 million W tokens (about 6.17% of the total supply) will be airdropped to approximately 400,000 wallets. So, what is the token economics and release rules for W? What are the airdrop standards? Which users are eligible for the airdrop? What is the value of W?
Table of Contents
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1. Introduction to Wormhole
2. Token Economics
3. Airdrop Distribution
Airdrop Standards:
Which users are eligible for the airdrop:
How to check the airdrop
4. Value of W?
Wormhole is a universal messaging protocol launched in October 2020, initially incubated and supported by Jump Crypto. Its aim is to enable developers to build native cross-chain applications that cover multiple chains. It has now evolved from a focus on the Ethereum and Solana bidirectional cross-chain bridge to a universal messaging protocol that supports multiple chains, and has completed its spin-off from Jump Crypto.
For most people, Wormhole is known as an insecure cross-chain bridge. Especially on February 3, 2022, Wormhole suffered a hacker attack and lost 120,000 ETH (valued at approximately $326 million at the time). But this did not defeat Wormhole. Over the past two years, Wormhole has built a relatively complete product and ecosystem, with over 200 projects built on Wormhole. (Reference: “From Origins to Evolution, Understanding the Wormhole Panorama”)
In November 2023, Wormhole completed a $225 million financing at a valuation of $2.5 billion, with participation from Brevan Howard, Coinbase Ventures, Multicoin Capital, ParaFi, Dialectic, Borderless Capital, Arrington Capital, Jump Trading, and others.
W is a native ERC20 token and native Solana SPL token (Solana Foundation released the SPL token standard for token expansion on the Solana network in January this year), with a total supply of 10 billion tokens. The initial circulating supply is 1.8 billion tokens, which will be distributed on Ethereum, Solana, Arbitrum, Optimism, and Base networks. The remaining 82% of tokens (8.2 billion tokens) will be locked at the initial issuance and will be unlocked within four years.
On February 7, Wormhole released the token economics, allocating 5.1% of the tokens (510 million tokens) to guardian nodes, 17% (1.7 billion tokens) to the community and launch, 31% (3.1 billion tokens) for the ecosystem and incubation, 12% (1.2 billion tokens) to core contributors, 11.6% (1.16 billion tokens) to strategic network participants, and 23.3% (2.33 billion tokens) to the foundation treasury.
Token release schedule can be referred to the following figure:
Wormhole stated that after filtering out over 1 million independent wallets, 397,704 wallets were eligible to receive 617,305,000 W tokens in the “community and launch” category, accounting for 6.17% of the total supply. The snapshot for this airdrop was taken at 07:59 Beijing time on February 7. The evaluation of the airdrop standards was based on nearly 3 years of data, taking into account the length of time users participated in the Wormhole protocol, accumulated cross-chain communication and transfer transaction volume, consistency used throughout the protocol lifecycle, and participation in applications within the ecosystem.
500 million tokens will be airdropped to on-chain users: users who have used Wormhole ecosystem applications on over 30 blockchains connected to Wormhole. (See figure for details)
1.17305 billion tokens will be airdropped to Wormhole Discord users, Bad Kids holders, DeGods holders, Mad Lads holders, y00ts holders, Monad community, and Pyth stakers.
Based on community feedback, users holding the “W” badge in Mad Lads can receive 16,000 W tokens, of which 3,200 W tokens will be unlocked at TGE, and the remaining 12,800 W tokens will be unlocked within one year. Yoots NFT holders can receive 2,000 airdropped tokens. Monad Discord members can receive 8,000 airdropped tokens. BadKids holders can receive 7,000 airdropped tokens.
Users can query W token airdrop through multiple entry portals. First, Wormhole has launched an airdrop query portal, eligibility checker, where users can separately check and claim airdrops for EVM, Solana, Sui, Aptos, Injective, Terra, Algorand, Osmosis networks, and support Discord account linkage to check for community eligibility.
Airdrop query portal:
http://airdrop.wormhole.com
Note: Sei, NEAR, Kujira, and Evmos airdrops will be sent to the wallet on the other side of the cross-chain transaction.
Second, Jupiter has partnered with Wormhole, and users can query and claim airdrops through Jupiter LFG’s Claimpad.
URL:
https://lfg.jup.ag/w
Third, Phantom wallet will send push notifications and banners to users eligible for the airdrop. Users can click to query and claim, or access the Wormhole official airdrop query portal in Phantom Explore.
As mentioned earlier, Wormhole completed a $225 million financing at a valuation of $2.5 billion, with an initial supply of 1.8 billion tokens. Therefore, the opening market price of W should be $1.38.
Currently, according to Whales Market data, the pre-market price of W is $1.86 USDT per token.
In addition, according to news on February 29, Wormhole (W) tokens will be officially issued on March 20. Bybit has already listed W for pre-market trading, with the last transaction price at $2.18 USDT, and the current lowest bid price is $1.99 USDT.
(This article is authorized to be reproduced from “Foresight News”.)
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