📰 Table Of Contents
The Wormhole Protocol Exploit and Airdrop Incident
The hacker responsible for the $320 million exploit of the Wormhole bridge in 2022 found themselves initially eligible for an airdrop, potentially claiming $50,000 in newly launched W tokens.
Investigation Details
An investigation conducted by pseudonymous researcher Pland revealed that the Wormhole team overlooked excluding several wallet addresses associated with the exploit that drained $321 million in crypto from the cross-chain bridge.
Wormhole Protocol Overview
Wormhole is a cross-chain protocol that allows users to send and receive crypto between various blockchains like Ethereum, Solana, Binance Smart Chain, and more without the need for a centralized exchange.
Exploit and Recovery
In February 2022, hackers compromised the Wormhole Bridge, resulting in a significant loss. However, efforts by Jump Crypto and Oasis.app led to the recovery of $225 million in digital assets.
Airdrop Incident
Several wallet addresses linked to the hackers were temporarily able to claim Wormhole’s airdrop, but further investigation revealed that they were no longer eligible.
Wormhole Airdrop Announcement
Wormhole announced an airdrop of over 675 million new Wormhole (W) tokens worth $850 million to eligible users. The distribution aims to reward early users across various chains and crypto communities.
W Token Features
The W token offers governance functionality, allowing holders to participate in governance votes. This multichain governance system is a first in the industry.
Market Performance
After the W token launch, its price surged to $1.66 before a decline to $1.31. The market capitalization peaked at nearly $3 billion, making it the 54th largest digital asset by market capitalization.
Ian is a cryptocurrency enthusiast blending humor with professionalism. With an engineering background and a storyteller's heart, he simplifies the blockchain world with sharp analysis and a touch of wit. At Cryptowire, he brings his unique perspective to make digital financial innovation accessible to all.
