The cryptocurrency Worldcoin (WLD) has seen a dramatic price increase, surging 75% over the past five days, with a significant 38% increase in the last 24 hours. According to DeFi^2 (@DefiSquared), the number one ranked trader on Bybit and a top 10 wallet on DeBank, this price movement is not merely speculative but indicative of potential market manipulation, timed with upcoming insider unlocks.
The Worldcoin Cash Grab
In a post shared via X, the top trader DeFi^2 has brought to light concerning details about Worldcoin’s market activities ahead of its planned insider token unlocks. With only 2.7% of WLD’s total supply currently in circulation, the smallest percentage in the industry at unlock time, the concerns center around how the Worldcoin team has managed to maintain a staggering $30 billion fully diluted valuation (FDV).
“Worldcoin is projected to commence insider unlocks in 7 days at one of the lowest floats ever recorded in the industry,” DeFi^2 wrote. “This research piece brings to light exactly how the team is controlling the price to still carry a $30 billion fully diluted valuation as insider unlocks begin, while falsely claiming to have no involvement.”
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Worldcoin was initially launched with a 1.4% circulating supply, or 140 million WLD. Out of this, 100 million tokens were assigned to market makers with call options that allowed them to buy back a significant number of tokens at a preset price of slightly over $2. This was strategically aimed at dampening any sudden price spikes.
On “The Scoop Podcast,” Alex Blania, CEO of Worldcoin, openly discussed these tactics, stating they were crucial in preventing the price from soaring, which could potentially disrupt the market. “The intent to avoid the price spiking to $10,” Blania explained, “is paramount, as such an event would be horrific for our strategic market positioning.”
However, by December 16th, the situation dramatically shifted when Worldcoin opted not to renew its market maker contract. This led to the removal of the call option and a concurrent reduction in WLD’s circulation by an additional 25 million tokens. The immediate aftermath saw the price double within hours, a scenario Blania had previously indicated the company intended to avoid.
During the Token2049 conference in Dubai, Blania reiterated that Worldcoin does not manipulate market prices, attributing fluctuations to natural market forces. This statement starkly…
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