🚨 Caution on $WLD
: Heavy Token Distribution Raises Concerns
$WLD is currently facing significant challenges, making it a high-risk asset in the current market. Every day, approximately 3 million new tokens are distributed for free to individuals who have scanned their iris through the project’s verification process. This continuous influx of supply raises concerns about downward price pressure and potential oversaturation.
📉 Market Concerns & Open Interest Comparison
🔹 The open interest for $WLD stands at around $42 million, meaning that within just 14 days, the amount of freely distributed tokens will equal the size of the entire futures market. This excessive supply could lead to increased selling pressure, impacting the token’s ability to hold value.
🔹 Despite the project’s claims that sensitive user data is encrypted, concerns surrounding privacy risks and biometric data collection remain a major obstacle to mainstream adoption. Regulatory scrutiny and skepticism over data security continue to overshadow the project’s future.
⚠️ The Future of Worldcoin: Key Risks
🚫 Sustainability Issues – The ongoing mass distribution of tokens without a clear demand mechanism may limit long-term price growth.
🚫 Privacy & Regulatory Concerns – Many experts argue that biometric data collection remains a controversial subject, regardless of encryption claims.
🚫 AI Leadership Shift – With OpenAI stepping back from active involvement in Worldcoin, confidence in the project’s long-term vision has declined.
💡 Final Thoughts: Exercise Caution Before Investing
While Worldcoin (WLD) initially gained attention due to its unique approach, its current market conditions raise red flags. The ongoing massive token release and privacy concerns create significant uncertainty for its future. Investors should thoroughly assess the risks before making any commitments.