Wormhole Secures $225m: Cross-Blockchain Messaging Breakthrough
Messaging protocol company Wormhole, which enables communications across different blockchains, has generated an astronomical US$225m in funding.
This represents the largest funding round for a crypto project in 2023 so far, with lead investment coming from an array of VC backers, including Coinbase Ventures, Brevan Howard and Jump Trading.
Other investors are Multicoin Capital, ParaFi, Dialectic, Arrington Capital and Borderless Capital.
Wormhole: Reimagining fundraising structures
Wormhole’s marked success in its latest funding can be attributed in part to its deployment of a unique fundraising structure – offering token warrants as opposed to equity stakes.
The move could mark a continued shift in the way crypto companies are funded, particularly given the funds raised in this year-high round.
Wormhole marked its receipt of new capital with the launch of Wormhole Labs, a new wholly-owned entity specifically dedicated to protocol development, operating independently.
This new launch coincides with its split from Jump Crypto, a Web3 infrastructure and development platform – marking a new phase in Wormhole’s trajectory as a standalone organisation.
The CEO of newly-launched Wormhole Labs, Saeed Badreg, hopes the new funding will help the company “push forward the relentless expansion of blockchains”.
This is not something Badreg believes is just a niche trend, “but an enduring transformation where Fortune 100 companies onboard both public and private blockchains.”
Wormhole Foundation CEO, Dan Reecer, adds: “We are grateful to have reached this milestone with the support of such a strong group of backers as we continue to deliver critical infrastructure for Web3.
“We are ecstatic to bring more new and groundbreaking products to market as we head into next year, and look forward to continuing to support our ecosystem of developers who are building with our tools every day to expand their businesses and build great experiences for users.”
