Multichain

Multichain (MULTI), originally known as Anyswap, was an Ethereum-based token and protocol designed to facilitate cross-chain interoperability among blockchain networks. Founded on 20 July 2020, Multichain aimed to support asset transfers across diverse chains using its SMPC (Secure Multi-Party Computation) network. Its flagship services included the Multichain Bridge and Router, which locked tokens on a source chain and issued wrapped equivalents on a target chain, making asset transfers across chains secure and efficient.

In early 2023, Multichain faced significant disruptions, starting with rumours in May about the arrest of its CEO, Zhao Jun, in China. This event hindered the protocol's operations as it relied on his access to manage the infrastructure. On 7 July 2023, a major security exploit resulted in the unauthorised transfer of approximately $126 million from the platform’s Fantom and Moonriver bridges. The Multichain team lost control of key systems, leading to a complete suspension of services and advising users to avoid further transactions through the platform.

On Ethereum, the MULTI token served as both a governance and utility token within the Multichain protocol. Token holders were empowered to vote on governance proposals, which affected community and ecosystem developments. Multichain’s services included several key components:

1. Bridge: Locked assets on the Ethereum network could be bridged to other chains by creating equivalent wrapped tokens, facilitating secure cross-chain value transfers.
2. Router: Enabled transfers of native and wrapped assets between multiple chains, supporting both Ethereum and other EVM-compatible networks.
3. anyCall: A cross-chain messaging system allowed smart contracts on one blockchain to interact with those on another via the MPC network.
4. NFT Support: Provided bridges for ERC-721 and ERC-1155 NFT standards, broadening Multichain’s compatibility.

Since its discontinuation, the governance functionality and primary utility of the Ethereum-based MULTI token have been limited, and it now mainly represents its historical value as a once-central asset in Multichain’s ecosystem.