The Worldcoin project, led by OpenAI’s Sam Altman, is entering a critical phase with the planned unlocking of Worldcoin tokens for early contributors starting July 24.
The project earlier today announcement a significant extension of the unlocking period for 80% of tokens held by team members, extending the duration “from 3 years to 5 years”.
As Worldcoin prepares for this crucial transition, the market has reacted positively to the news. In the last 24 hours alone, the Worldcoin token (WLD) has seen a surge of over 30%, now trading at $2.67.
This price performance is notable as it marks a recovery from the token’s recent drop, which fell to below $2 last week.
Distribution details
Worldcoin’s unique token distribution method involves a human verification process where individuals are assigned global IDs after their irises are scanned by a device known as an orb.
Although this process has been “deleted,” as Bitcoinist recently reportedOver 211 million WLD tokens have already been claimed by verified World ID holders, representing over 77% of the current supply of 275 million WLD tokens.
The initiative is made possible by Tools for Humanity, led by CEO Alex Blania, and is positioned as a pioneering effort to integrate cutting-edge technology into cryptocurrency incentives.
According to the latest announcement, the upcoming token release will see Tools for Humanity investors and team members receive their first distributions of WILD. The project noted:
Starting July 24, 2024, approximately 2 million WLD held by TFH investors and team members will be unlocked each day. The extended unlocking schedule has reduced this number by approximately 40% from the initial amount (approximately 3.3 million WLD per day).
Sharing a chart of the projected circulating supply, Worldcoin added in the announcement: “As the figure shows, the extended unlocking schedule has the effect of slowing the increase in circulating supply.”
This is particularly a timely move to promote long-term success across the project’s ecosystem, as the Worldcoin Foundation and its collaborator, World Assets, hold a large community fund of WLD 7.22 billion designated explicitly for this purpose.
By controlling the release of these funds, the organization aims to minimize potential market disruptions while contributing to the project infrastructure or community initiatives.
Regulatory Struggle Continues for Worldcoin
Regardless of Worldcoin updates, like this latest one, the project has continued to face regulatory challenges in different regions due to privacy concerns.
At the beginning of June, the project has suspended its operations in Spain until at least the end of 2024. The move follows an ongoing investigation by the Spanish Data Protection Agency (AEPD) into the company’s data collection and processing practices.
Before that, the project had also recently has been ordered by the Office of the Personal Data Protection Commissioner (PCPD) of Hong Kong to cease operations In the region.
The cease and desist order comes amid an announcement by Hong Kong’s PCPD earlier this year that it would investigate Worldcoin’s activities because they could pose a “risk to personal data privacy.”
Featured image created with DALL-E, chart by TradingView
