Worldcoin, a controversial cryptocurrency project, is facing new allegations of insider trading and market manipulation. The project, which aims to scan the irises of billions of people, has raised concerns over token dilution due to its vast supply.
Currently, only 2.7% of WLD tokens are in circulation, but the fully diluted market cap is a staggering $22.4 billion. This discrepancy has led to fears that as more tokens enter the market, their value could be significantly diluted.
Despite over six million sign-ups, many tokens remain unclaimed. Allegations suggest that Worldcoin may be manipulating the market to maintain its high valuation, with 100 million tokens allocated to market makers.
Regulatory bodies worldwide have banned Worldcoin over data protection concerns, particularly regarding the processing of biometric information.
Whether these setbacks will be temporary remains uncertain, but the need for digital identities could make Worldcoin strategically important in the future.
