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WormHole (W)

Wormhole is a cross-chain protocol that facilitates the transfer of assets between ecosystems on different blockchains.

What is Wormhole ($W)

As a cross-chain protocol, Wormhole facilitates the transfer of assets and data between different blockchain ecosystems. The protocol uses a "Proof of Transfer" mechanism to ensure the security and reliability of transfers between networks.

How does Wormhole work?

Wormhole connects different blockchain networks by “packaging” data into packets from the source blockchain, and outputs it to the destination blockchain through a system that is governed by validators.

Participating blockchains are backed by a “Core Bridge” contract that is governed by a Proof of Authority consensus mechanism.

The validated and verified packets are then relayed to the destination blockchain, where they are processed to finalize the transaction between the networks.

In summary, Wormhole uses a simple five-step process:

  1. The issuer deposits data into the Wormhole smart contract on a blockchain.
  2. A smart contract prepares data to be sent to the new blockchain.
  3. The newly created “packaged” data is ready to be relayed to the destination blockchain.
  4. Data is sent to the destination network in real time and received in its original form.
  5. The user retrieves the original data from the smart contract.