Concerns Surrounding Worldcoin (WLD) Token Sale Potential Impact on Price
If you are a cryptocurrency investor holding WLD tokens, you may want to pay close attention to a recent announcement from Worldcoin. The project, which focuses on human digital verification, revealed plans to sell between 500,000 and 1.5 million WLD tokens weekly over the next six months. This significant token sale could potentially impact the price of WLD tokens due to the massive selling pressure that may result from it. Here are some key details to consider:
Details About The Proposed WLD Token Sale
Worldcoin announced that its subsidiary, World Assets, will be conducting the WLD token sale to institutional trading firms outside the United States. The sale will involve weekly private placements totaling between 500,000 and 1.5 million tokens and is expected to span six months. Here’s what you need to know:
– A total of up to 36 million WLD tokens may be sold during this period.
– These tokens will not be part of the current circulating supply, but the circulating supply is expected to increase to over 229 million once the sale is completed.
This news has understandably raised concerns among WLD holders, as the increased supply could potentially impact the token’s price. However, Worldcoin has attempted to reassure investors by claiming that the weekly token sales represent a relatively small percentage of the current trading volume. In addition, the project may impose a lock-up period on trading firms to prevent immediate sell-offs, potentially stabilizing the token’s price.
The Worldcoin Ecosystem
WLD is the native token of Worldcoin, a project that aims to authenticate human identities digitally using the “Orb” device. Despite attracting criticism from figures like Vitalik Buterin, the project continues to expand, with plans to use the proceeds from the token sale to meet the rising demand for orb-verified World IDs worldwide. Here’s what you should know about the project:
– Authorities in various countries have investigated Worldcoin over privacy concerns and potential legal violations.
– Despite regulatory challenges, the team remains focused on growing the project and meeting global demand for verified identities.
– The current price of WLD is approximately $5.4, having decreased by over 6% in the last 24 hours according to CoinMarketCap.
Hot Take: Potential Downward Trend for WLD Tokens Amid Token Sale
If you are considering investing in Worldcoin (WLD), it may be prudent to monitor the potential impact of the upcoming token sale on the token’s price. The substantial increase in circulating supply resulting from the sale could lead to selling pressure and price volatility in the coming weeks. While Worldcoin aims to mitigate these effects through measures like a lock-up period, it is essential for investors to stay informed and consider the risks associated with such developments before making investment decisions in WLD.
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