Worldcoin

<p>One analyst on X is&nbsp;<a class="editor-rtfLink" href="https://twitter.com/MikeIppolito_/status/1761797475944296778" target="_blank" rel="noopener nofollow">concerned</a>&nbsp;about the long-term sustainability of Worldcoin (WLD), a project aiming to build a universal digital identity system. While acknowledging the project’s innovative approach and recent upswing that has seen WLD more than 4X, the analyst thinks “Worldcoin will end in tears.”</p> 
<h2 id="fdv-versus-market-cap-soars-doubt-a-massive-price-dump-incoming">FDV Versus Market Cap Soars Doubt: A Massive Price Dump Incoming?</h2> 
<p>In a post, the analyst points to a significant discrepancy between Worldcoin’s fully diluted valuation (FDV) of $82.1 billion and its current market capitalization of around $1.1 billion, as&nbsp;<a class="editor-rtfLink" href="https://coinmarketcap.com/currencies/worldcoin-org/" target="_blank" rel="noopener nofollow">seen</a>&nbsp;from CoinMarketCap. To compare, Ethereum (ETH), the most valuable altcoin, has an FDV of $369 billion, slightly less than the current market cap of around $362.1 billion.</p> 
<img loading="lazy" decoding="async" class="size-full wp-image-576950" src="https://www.newsbtc.com/wp-content/uploads/2024/02/Screenshot556.png?resize=1024%2C509" alt="Worldcoin FDV versus market cap | Source: CoinMarketCap" width="1024" height="509" srcset="https://www.newsbtc.com/wp-content/uploads/2024/02/Screenshot556.png?resize=1024%2C509?w=1032 1032w, https://www.newsbtc.com/wp-content/uploads/2024/02/Screenshot556.png?resize=1024%2C509?w=460 460w, https://www.newsbtc.com/wp-content/uploads/2024/02/Screenshot556.png?resize=1024%2C509?w=768 768w, https://www.newsbtc.com/wp-content/uploads/2024/02/Screenshot556.png?resize=1024%2C509?w=860 860w, https://www.newsbtc.com/wp-content/uploads/2024/02/Screenshot556.png?resize=1024%2C509?w=360 360w, https://www.newsbtc.com/wp-content/uploads/2024/02/Screenshot556.png?resize=1024%2C509?w=750 750w" sizes="(max-width: 1000px) 100vw, 1000px" data-recalc-dims="1"> 
<p>The FDV shows the hypothetical market cap if all coins or tokens were in circulation. On the other hand, the market cap shows the total valuation of coins in circulation.</p> 
<p>Typically, the higher the FDV, the higher the chance of the coins in circulation being diluted when locked assets are released. Prices will likely take a hit with the deluge of coins hitting the secondary markets. The sell-off would especially be intense if demand doesn’t increase proportionally.</p> 
<p>In Worldcoin’s case, the massive difference between FDV and the current market cap portends possible price dumps should a considerable chunk of WLD be released. And this will likely be the case, especially in light of what’s expected in the coming weeks.</p> 
<p>A breakdown of its tokenomics&nbsp;shows that besides coins airdropped to users, a big chunk was allocated to venture capital firms and individuals like <a href="https://www.newsbtc.com/news/alameda-researchs-worldcoin-investment-hits-all-time-high-exceeding-50m-as-wld-price-climbs/" target="_blank" rel="noopener ">Alameda Research</a> and Three Arrows Capital (3AC). Token Unlocks <a href="https://token.unlocks.app/worldcoin-wld" target="_blank" rel="noopener nofollow">data</a> show that more WLD will be unlocked in less than five months. The release, observers note, could heap pressure on the coin, possibly pushing it lower from the current valuation.</p> 
<img loading="lazy" decoding="async" class="size-full wp-image-576949" src="https://www.newsbtc.com/wp-content/uploads/2024/02/Screenshot555.png?resize=1024%2C329" alt="WLD release schedule | Source: Token Unlocks" width="1024" height="329" srcset="https://www.newsbtc.com/wp-content/uploads/2024/02/Screenshot555.png?resize=1024%2C329?w=1327 1327w, https://www.newsbtc.com/wp-content/uploads/2024/02/Screenshot555.png?resize=1024%2C329?w=460 460w, https://www.newsbtc.com/wp-content/uploads/2024/02/Screenshot555.png?resize=1024%2C329?w=768 768w, https://www.newsbtc.com/wp-content/uploads/2024/02/Screenshot555.png?resize=1024%2C329?w=860 860w, https://www.newsbtc.com/wp-content/uploads/2024/02/Screenshot555.png?resize=1024%2C329?w=750 750w, https://www.newsbtc.com/wp-content/uploads/2024/02/Screenshot555.png?resize=1024%2C329?w=1140 1140w" sizes="(max-width: 1000px) 100vw, 1000px" data-recalc-dims="1"> 
<h2 id="worldcoin-is-expanding-will-wld-bulls-succeed">Worldcoin Is Expanding, Will WLD Bulls Succeed?</h2> 
<p>Worldcoin plans to release a universal digital identity system. This solution will run on the blockchain and, to a small degree, rely on artificial intelligence (AI). Although the project faced regulatory challenges in multiple countries, including Kenya, Worldcoin <a class="editor-rtfLink" href="https://twitter.com/worldcoin/status/1739993683930624055" target="_blank" rel="noopener nofollow">recently</a>&nbsp;expanded into Singapore.&nbsp;</p> 
<p>Even so, the analyst is concerned that the lack of demand-side drivers, specifically adoption, could slow down the uptrend. WLD is in a sharp uptrend, looking at the development in the daily chart.</p> <a href="https://www.tradingview.com/x/wR9faWEO/" rel="nofollow"><img loading="lazy" decoding="async" class="size-full" src="https://www.tradingview.com/x/wR9faWEO/" alt="WLD price trending upward on the daily chart | Source: WLDUSDT on Binance, TradingView" width="1233" height="592"></a> 
<p>If the coin stays above $6, WLD could soar in the coming sessions.</p>

Will Worldcoin End In “Tears”? This Analyst Thinks So

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