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    Wormhole

    W

    Evaluation Score

    Overall rating on a scale of 0-10

    RiskReturn
    07.010
    Risk Level:
    Medium
    Recommendation:Buy
    Evaluated:May 12, 2025 at 12:23 AM

    Crypto Token Health Score Explained

    Our AI-powered health score evaluates on-chain metrics, community support, tokenomics, and more. This helps DeFi investors understand risk, compare tokens, and make informed decisions. Learn how to analyze DeFi tokens' risk and use these insights for DeFi portfolio risk management.

    AI Analysis

    Comprehensive evaluation of the token

    Overall Evaluation of Wormhole (W)

    Wormhole benefits from active development (8/10) with sustained commits, frequent releases, and thorough security audits post-exploit. The community is engaged across Twitter, Discord, Reddit and grassroots tooling efforts (7/10), though occasional security concerns linger. Its tokenomics feature a fixed 10 billion supply and clear vesting schedules (7/10), but large insider allocations and guardian concentration pose medium-term sell-pressure risks.

    On the market front (7/10), Wormhole ranks among the top 3 bridges by TVL (~$1 B+), serving a clear interoperability need, yet faces fierce competition from LayerZero, Axelar and IBC protocols. The team and governance (7/10) are reputable, though the guardian network remains somewhat centralized. Past security breaches have led to enhanced audits, multisig HSMs, and an active bug bounty (7/10), improving resilience but warranting a moderate risk buffer.

    Conclusion: Wormhole delivers compelling cross-chain capabilities with strong development and on-chain governance. However, centralization vectors, competitive pressure, and large vested allocations temper its upside. Investors seeking exposure to interoperability should consider W as a medium-risk position with solid upside potential.

    Detailed Analysis by Category

    Development Activity

    Code updates and developer engagement

    RiskReturn
    08.010

    Community Support

    Social media presence and community engagement

    RiskReturn
    07.010

    Tokenomics

    Supply, distribution, and utility

    RiskReturn
    07.010

    Market & Use Case

    Value proposition and competitive landscape

    RiskReturn
    07.010

    Team & Governance

    Team background and project governance

    RiskReturn
    07.010

    Security & Audits

    Security history and audit status

    RiskReturn
    07.010

    About Wormhole (W)

    Wormhole (W)

    Symbol: W
    Token Name: Wormhole

    Wormhole is a decentralized cross-chain messaging protocol and blockchain interoperability network. The native W token powers governance, fee settlement, and staking across major chains—Ethereum, Solana, BNB Chain, Avalanche, Polygon, Fantom, and more.

    Key Features

    • Cross-Chain Bridge: Secure asset transfers and data messaging between heterogeneous blockchains.
    • Governance: W token holders propose and vote on protocol upgrades, parameters, and ecosystem grants.
    • Utility: Settle transaction fees for bridging services and network operations.
    • Staking & Security: Stake W to secure the Wormhole guardian network and earn rewards.

    Use Cases

    1. Stake & Earn: Delegate W to guardians for network security and yield incentives.
    2. Protocol Governance: Submit and vote on Wormhole Improvement Proposals (WIPs).
    3. Fee Settlement: Pay bridge fees and access premium messaging features.

    For detailed tokenomics, distribution schedules, smart contract audits, and developer resources, visit the official Wormhole documentation and whitepaper.

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