The cryptocurrency project Worldcoin, supported by OpenAI CEO Sam Altman, has recently experienced a continuous surge, possibly due to the new Sora model released by OpenAI. However, it is important to note that Worldcoin and Sora are not technically related, and WLD may also face the risk of whale dumping at any time.
Worldcoin, a cryptocurrency project co-created by OpenAI CEO Sam Altman, who led the AI wave with the launch of ChatGPT, has seen an astonishing 175% increase in the past week, reaching new historic highs.
Just this morning (22nd), WLD once again approached $8, but at the time of writing, it has slightly declined to $7.21, experiencing an 18.45% increase in the past 24 hours. With the rise in token price, Worldcoin’s market capitalization has also surpassed $1 billion, propelling it into the top 100 cryptocurrencies.
The reason behind WLD’s surge is speculated to be related to the release of a new artificial intelligence model called Sora by OpenAI on February 15. This model can generate high-quality short videos based on user input text. The market may have transferred its expectations for OpenAI and Sam Altman to Worldcoin, leading to the rapid surge of WLD in the short term.
However, it is important to note that Worldcoin and Sora are completely different projects, and OpenAI and the official Worldcoin team have not announced any related technical collaboration. Therefore, in the face of market overheating and FOMO sentiment, market investors need to exercise risk control and cautious judgment.
Another concern regarding Worldcoin is the centralization of token distribution. According to data monitored by the online chain data monitoring platform Lookonchain, the top 10 holders of WLD (including project parties, centralized exchanges, and market makers) collectively hold 9.15 billion WLD, accounting for 91.5% of the total supply.
Overall, the current distribution status is still in the early stages, and whether the project can achieve the goal of financial inclusion by the project team remains to be seen.
It is also worth noting that the bankrupt cryptocurrency hedge fund Three Arrows Capital (3AC) holds a total of 75 million WLD, accounting for 0.75% of the total supply, approximately $579 million. The bankrupt cryptocurrency exchange FTX’s sister company Alameda holds 25 million WLD, accounting for 0.25% of the total supply, approximately $193 million. As these two bankrupt companies currently face debt repayment issues, there is a possibility of selling off WLD at high levels. In the face of potential selling pressure, investors are advised to be cautious as WLD is currently experiencing high volatility.
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