Worldcoin plunges 50% amid data privacy fears
On July 25, 1,673 addresses completed transactions with WLD. A month later, on August 25, fewer than 150 addresses had transacted with the ChatGPT founder's cryptocurrency.
Photo: Worldcoin historical chart
In the month of August, the major cryptocurrencies in the market faced a decline of around 10%. However, the situation was particularly harsh for Worldcoin, the cryptocurrency established by Sam Altman, the founder of ChatGPT.
Worldcoin's token, WLD, which initially traded at $2.75 during its launch, witnessed a significant drop and is now being traded at $1.22, marking a staggering 57% decrease.
A glance at the currency's price chart reveals that even after being listed on the world's largest exchange, Binance, the token's value has continued to slide, indicating a concerning devaluation for investors.
Worldcoin Raises Data Privacy Concerns
One distinctive aspect of the project is its registration method. Instead of the conventional email or document verification, Worldcoin opted for a more futuristic approach: eye scans.
While innovative, this mechanism has stirred controversies, primarily due to the collection of biometric data without explicit user consent. This has ignited debates on the fine line between innovation and privacy.
The market, sensitive to such controversies, responded nervously. From an initial peak, the currency is now experiencing a decline that, according to analysts, reflects the legal and ethical uncertainties linked to data collection.
Several countries, including Germany, France, Kenya, and the United Kingdom, have initiated investigations to gauge the depth and compliance of these practices with existing data protection laws.
A cloud of uncertainty hangs over the company, with potential more significant consequences on the horizon.
Nevertheless, despite these challenges, Worldcoin didn't enter the market without a value proposition. The project captured the attention of millions, with 2 million sign-ups for the World ID.
Is it the End of Worldcoin?
According to Santiment, a market analysis firm, Worldcoin's social dominance has plummeted by 95% in the last 30 days. This signals a meteoric decline in enthusiasm and interest surrounding the project.
To compound matters, the number of addresses engaged in daily transactions involving WLD has been consistently dropping since its price started plummeting.
On July 25th, 1,673 addresses completed transactions with WLD. A month later, on August 25th, fewer than 150 addresses were involved in transactions with the ChatGPT founder's cryptocurrency.
This suggests that project investors aren't finding real-world use cases for the currency, which could lead to further problems in the future and possibly mark the end of this digital asset.
As of Monday morning, the Worldcoin is being traded at $1.22, reflecting a 5.09% decrease over the last 24 hours.
