Blockchain bridge solution Wormhole has integrated the Algorand blockchain with the aim of expanding interoperability and increasing the network’s TVL.
Tokens bridged through Wormhole’s portal Bridge will lock the initial tokens in smart contracts with the new portal-wrapped version of the tokens minted on the target chain.
Wormhole’s Foundation Director, Hendrik Hofstadt, says that the bridge has become one of the notable DeFi networks globally. The executive lauds its role in allowing for liquidity flow into new networks.
Bridges remain vulnerable to hacks, with their security levels weaker compared to independent blockchains. Wormhole’s Solana-Ethereum bridge was hacked for more than $320 million this year.
Algorand’s developer Michel Dahdah welcomes the integration saying that it will allow access to liquidity outside of Algorand for building the network’s TVL.
Wormhole has reportedly integrated with blockchains including Avalanche, Terra, and Polygon, with the total value locked topping $700 million.