A $50 million fund has been launched to help startups using Wormhole's cross-chain messaging protocol, according to a May 18 announcement. The new fund is managed by venture capital fund Borderless Capital and is backed by more than 20 other blockchain development teams s and venture capital firms, including Circle, Polygon Ventures, Solana Foundation, Jump Crypto, and others. The fund will help startups "innovating cutting-edge applications, infrastructure or tools across multiple ecosystems," according to its application page on Wormhole's website , which also describes the fund as "anti-maximizing" or promoting This idea requires more than one blockchain to solve users' problems.
Borderless Capital CEO and Managing Partner David Garcia said he believes the new fund will help grow the Web3 economy and allow apps to attract new users: "Our goal is to empower builders to move beyond the confines of individual ecosystems, paving the way for blockchain application the s and protocols to reach their full potential."
Wormhole is a cross-chain messaging protocol. It allows different blockchain networks to communicate with each other and is often used to bridge assets from one network to another. For example, if a user wants to transfer Ether, From the Ethereum network to the Solana network, they can use Wormhole to achieve it. It connects to more than 20 different networks, the announcement said.
Other cross-chain messaging protocols include LayerZero, Celer, deBridge, and more. Wormhole has expanded its partner network over the past few months. In January, cryptocurrency exchange Uniswap selected it as the official bridge protocol for cross-chain governor ance between the Ethereum and BNB networks. Wormhole Integrates with Circle's Cross-Chain Transfer Protocol to Simplify USD Coin Transfers April 26 From Ethereum to Avalanche.
However, Wormhole has also been controversial in the past for its safety. Its Solana bridge was hacked in February 2022, resulting in a loss of $321 million. The developers later patched the faulty code that led to the exploit and compensated all users.
