Institutional investors’ interest in cryptocurrencies is on the rise. According to a CoinShares report, in recent weeks, institutional investors have been entering the crypto market. One of the latest developments is a popular crypto initiative receiving an investment of 225 million dollars, raising expectations even further.
The team behind the Wormhole protocol has closed a significant funding round for this technology that facilitates communication between different blockchains. As reported by Crunchbase, the project raised an investment of 225 million dollars and reached a valuation of 2.5 billion dollars, marking the largest crypto investment round so far in 2023.
Participants in the investment round include Brevan Howard, Coinbase Ventures, Multicoin Capital, ParaFi, Dialectic, Borderless Capital, Arrington Capital, and Jump Trading. These investment firms provided a total of 225 million dollars in exchange for an upcoming token rather than equity. Dan Reecer, the COO of Wormhole Foundation, refrained from giving a specific date for the token’s market launch.
This move stems from the separation between Wormhole and Jump Crypto, and the upcoming token will liberate Wormhole, enabling the popular crypto protocol to create its own economy. So far, no abbreviation or name has been specified for the Wormhole Token.
Wormhole, built by developers within Jump Crypto, was launched in August 2021 and became the target of attackers in a short period of time, in February 2022. After suffering a loss of over 300 million dollars, the team successfully managed the process and is still standing strong today. The Wormhole team currently consists of only 10 members, and a significant portion of the 225 million dollars will be used to hire more staff and further develop the protocol. Robinson Burkey, the head of commercial operations at Wormhole Foundation, said, “This is a very positive development and almost a new beginning for Wormhole.”