World coin is attracting eyeballs as more than 2.2 million people have signed up, getting their irises scanned in exchange for a digital ID and free crypto in some countries.
The new project from the founder of ChatGPT, Sam Altman, aims to create a blockchain-based ” identity and financial network.” However, its native coin WLD has kept a steady price between $2 and $2.50 after its launch on July 24 and thus spared the ” pump and dump” revolution of many new crypto tokens.
According to Gordon Grant, co-head of trading at Genesis Trading, the investor jury is out on Worldcoin’s prospects which still needs to offer the token to clients.
He said, “Some folks have taken a view about this project, both with the positive and negative side.”
Moreover, some tech players are excited about Worldcoin’s plan to offer a digital ID system based on what it calls ” proof of personhood” with the project endorsed by investors, including Andreessen Horowitz.
PitchBook analyst Robert Le said many startups were trying to build blockchain-based digital identity systems, but no one on the scale of Worldcoin.
However, Worldcoin bets that this will become more important as artificial intelligence bots increase the need for people to verify their human status online.
James Butterfill, head of research at CoinShares, said he predicts buyers at the moment as retail investors as uncertainty over whether Worldcoin is secure may make institutional players more careful.
According to CCData, more than 50 altcoins – a term directing to cryptocurrencies that are smaller than bitcoin and either have been labeled as securities by the US Securities and Exchange Commission.
Moreover, since last November, data watchdogs in Germany have been investigating Worldcoin, and the company was ordered to stop its eyeball-scanning operations in Kenya the previous week over troubles about potential risks to public safety.
Riyad Carey, a research analyst at blockchain analytics firm Kaiko said,”it’s never bullish for a token to be investigated by regulators.”
However, Worldcoin says ” it is completely private,” that its ID system is organized to enable anonymous actions, and” no personal data is disclosed by default. Biometric images are not shared with Worldcoin unless a user chooses. It also says that it is working closely with regulators.