Worldcoin is set to release a substantial volume of WLD tokens valued at approximately $195 million, aiming to expand the circulating supply by 18.6%. This plan involves the issuance of between 0.5 million to 1.5 million tokens weekly over a six-month period, significantly impacting the existing supply of 193 million tokens. The decision targets institutional firms and includes a 40-day lock-up period to prevent immediate resale, specifically to avoid entry into the U.S. market, aligning with specific legal restrictions.
The initiative emerges as Worldcoin addresses increasing global demand for its orb-verified World ID services, now with over 5 million users across 160 countries. However, the market conditions are not entirely favorable, with Worldcoin’s price having declined by more than 54% since early March. The new tokens could potentially exert downward pressure on prices, though there is optimism about recovery and growth potential. The release strategy involves engaging multiple trading firms in a competitive process to secure sale prices close to current market rates, aiming to stabilize the token’s value.
Disclaimer: Please note that the information provided in this article is based on the referenced research articles. It is essential to conduct further research and analysis before making any investment decisions. The cryptocurrency market is highly volatile, and investors should exercise caution and consult with financial professionals before engaging in cryptocurrency trading or investment activities.