Worldcoin (WLD) was listed on every significant crypto exchange on July 24, 2023, and quickly started trending thanks to its AI-driven appeal. Created by Sam Altman, the CEO of OpenAI, Worldcoin claims to be an asset that will help create a new identity and financial network everyone owns.

However, the Worldcoin token has been controversial, branded as a ‘VC coin’ by some analysts, and having a high market cap of over $20 billion at launch. This Worldcoin price prediction forecast analyzes the token’s fundamentals and market conditions to estimate how $WLD will hold up in the coming weeks.

What is Worldcoin?

According to the official whitepaper, Worldcoin is an Ethereum-based system on a mission to create a globally inclusive identity and financial network that most humanity would own.

The ecosystem system focuses on three elements. The privacy-preserving digital identity network, the World ID, “proof of personhood,” and the native crypto, is known as WLD.

The whitepaper specifies that every human can gain WLD by “simply being human.” The token and the World ID work on the World app, the front end of the World ID, and the Worldcoin protocol developed by a team known as “Tools of Humanity.”

Worldcoin defines “proof of personhood” as legitimate evidence that defines a person as human and unique. The project claims that once proof of personhood is established, people won’t need to prove they are human by revealing their real-world identity.

With the rise of powerful AI tools focusing on deep learning, separating AI-generated content from hand-crafted content is slowly becoming difficult. Proof of Personhood provides a robust barrier, allowing people to distinguish bots from humans.

Preserving that proof of personhood is where World ID would come in. Said to maintain privacy through “zero knowledge proofs”, World Id will be generated from a custom biometric device named Orb.

Agreeing to participate in the network and acquiring a World ID will reward users with a WLD token. The WLD token is an ERC-20 asset that would allow ID holders to interact with the different aspects of the World App, which, according to the official whitepaper, will find applications in finance, identity, and the “intersection between finance and identity.”

See our guide on how to buy Worldcoin.

Worldcoin Price Forecast – WLD Token Potential

Worldcoin’s arrival has not been received very well by the community. The corrective path it has taken shortly after its pump and the fact that much of its features seem centralized have given many crypto experts a bearish outlook about this token.

Since many experts have likened Worldcoin to Aptos, another VC coin, we can look at Aptos’s performance to date to discern how Worldcoin could perform in 2023.

Aptos was launched in early October 2022 when crypto winter was in full swing, and mid-terms positively impacted the price of Bitcoin, pushing its price to $8.5.

However, the FTX revelations pushed the token’s value down by more than 90%, which started a sideways trend that ended in early 2023 when Bitcoin gathered more support. That pump pushed Aptos to its all-time high of $19.

Aptos then retook a consolidated route before experiencing another downturn that pushed its value to around $7 at press time.

Its price declined partly due to the lack of interest, heavy VC backing, and founders holding most tokens. With a total supply of 1.04 billion, only 217 million tokens are in circulation – which gives Aptos a centralized look – something that’s not appreciated by most in the crypto space.

Worldcoin’s tokenomics, as we will dive deep in the section below, follow the same path, with only 1.11% of the total supply currently circulating in the market. With VCs being the majority shareholders of this asset and the project being focused on a central “orb” that would have centralized control, Worldcoin will likely see the same dipping action as Aptos.

Altcoin Sherpa has stated through his tweets that this token will likely drop to zero, albeit slowly.

$WLD: A few notes on how to play these things

-Don't EVER buy this thing as a long term investment. You will get dumped on by VCs
-I haven't looked but I'm guessing the tokenomics on this are shit, prob low float and MMs having large % of supply
… pic.twitter.com/NBNmOVsKJ6

— Altcoin Sherpa (@AltcoinSherpa) July 24, 2023

Worldcoin Tokenomics

Worldcoin (WLD) is an ERC-20 token on the Ethereum Mainnet. However, most WLD-related transactions will be done on the Optimism network.

The token has a total supply of 10 billion and an annual inflation rate of up to 1.5%. Inflation will start in the next 15 years at the earliest.

Of these 10 billion tokens, only 143 million have been launched for circulation. According to the official whitepaper, this has been done to maintain long-term sustainability for this token. Governance will be used to decide how much of the newly minted tokens will be allocated to users. Also, the current inflation rate is set at 0% unless it is changed via governance.

Here is how 10 billion tokens are distributed.

1. 75% of the tokens are dedicated to the community. The project’s Articles of Association mandate that the ecosystem slowly adopts a decentralized governance mechanism.
2.  9.8% of the token is allocated to the development team – Tools for Humanity. The team currently operates the World App.
3. 13.5% of the tokens are for investors of Tools for Humanity, who provided funds to the team to develop a multi-year launch phase for the Worldcoin project.
4. 1.7% of the total supply will be kept in the Tokens for Humanity Reserve to address the future needs of the development team.

As stated, the token unlocks will follow a 15-year schedule. The goal is to unlock 0.5 billion or 500 million tokens at launch and slowly release up to 3 billion tokens by the end of year 3.  7.5 billion WLD tokens will be released to the community by year 15.

Is Worldcoin a Good Investment?

Worldcoin seems to be creating a new form of need due to the introduction of AI – distinguishing bots from humans.

The developers believe that AI will become strong enough to create content and other articles indistinguishable from humans, which will need most people a “proof of personhood” in World ID.

While this utility is novel and can possibly be needed over the next two years, people aren’t looking for it right now. Furthermore, the token’s performance since launch hasn’t inspired much confidence.

Worldcoin’s VC-backed release and the brand power of OpenAI allowed it to gain the attention of major crypto players, pushing its value up by more than 200% as soon as it landed on Binance. Since then, the token has taken a corrective path and is consolidating around the $2 mark.

Also, most crypto influencers have rallied against it, advising people not to invest in Worldcoin. Byzantine General even said, “$WLD Worldscam fair value is either zero or negative.”

$WLD worldscam fair value is either 0 or negative. pic.twitter.com/bEC5710tT6

— Byzantine General (@ByzGeneral) July 24, 2023

Other influences have expressed a similar sentiment, with many stating that it is a Ponzi asset.

One of the primary reasons behind this sentiment is the token’s inflationary nature and the fact that only 1% of the total supply is circulating in the market. That means that VCs hold the most tokens right now, allowing them to control the narrative behind Worldcoin.

Due to these factors, we recommend you check out other alternative utility tokens with better upsides.

Worldcoin Risks

Here are the risks associated with investing in Worldcoin:

VC Backed Cryptocurrency 

There was a time in the crypto era when people felt safe when they saw celebs promoting crypto and were introduced to assets that VCs backed. That meant the project was in reliable hands, which made investors feel secure.

However, all the faith in the centralized bodies has dwindled after the fall of FTX, BlockFi, and many other projects that had VCs backing them up. People no longer find the same level of interest in these tokens. And since many of these currencies have a large portion of the total supply with the development team, people are often apprehensive due to potential rug pulls.

Inflationary Crypto Asset

The token is banking on one utility – creating a World ID that gives you proof of personhood. They have let the token have inflationary traits, citing development reasons and the potential scale of the user base.

The presence of inflationary attributes removes scarcity for this token, and if the project’s demand doesn’t go up as developers envision, its value is bound to go down.

Centralization

The “Orb” technology purported to provide users with a World ID  – proof of personhood – has a centralized element. And in the post-FTX world, people are moving towards more decentralized solutions. Even Vitalik Buterin, the progenitor of Ethereum, has voiced his concerns about the token’s security, centralization, privacy, and security.

Orb Security 

The project devs have highlighted many of the risks and limitations. They say that while Orb has a high level of security, it isn’t infallible. The anti-fraud measures have to be continually refined. Otherwise, bad actors would spoof or compromise the tech, leading to the compromise of World IDs. Another issue is the probabilistic nature of biometrics. They have inherent error rates, which means even if it works correctly 99.999% of the time, they can show the other 0.001% false rejection flags.

Creation of Loopholes

Due to health conditions, eye-based biometrics had to be refined to become more inclusive – allowing people with blindness or cataract to engage with the system properly. However, Orb is stepping back from that since introducing such a system can create some loopholes.

These factors can potentially damage the value of Worldcoin.

Worldcoin Growth Drivers

While the current state of the Worldcoin price makes its risks more visible, some growth drivers could push its value:

Instant Recognition

While the token’s initial pump was quickly met with a retrace, we must recognize that the project by itself has significant names behind it. It is leveraging the brand power of Sam Altman and the AI fundamentals to move forward, which could push its value by next year.

Differing Humans from Bots

ChatGPT has opened Pandora’s box through its content generation mechanics that can’t be closed anymore. AI is here to stay. And the way machine learning has developed, days will come when it becomes difficult to distinguish an AI’s digital footprint from a human’s. If people recognize the need for this utility, Worldcoin may get a boost.

Alternative to Worldcoin

Worldcoin’s robust utility is undercut by its weak tokenomics, which gives it an air of centralization. And the token’s retrace after it went live on Binance on July 24 shows that the bearish dominance for the WLD token is high. While it could go up by 100 or even 200% in the next year or two, this token just does not have enough excitement around it at this point. That is why crypto presales offer a better chance and better upsides to investors:

BTC20

Inspired by the desire to give people the same feeling of buying Bitcoin for the first time when it was worth $1, BTC20 is a crypto project focusing on bringing Bitcoin to an ERC20 ecosystem. It has the same tokenomics as Bitcoin, focusing on the same fundamentals but giving them an eco-friendly spin.

BTC20 has a total supply of 21 million tokens, with 6.05 million tokens being offered as a presale. The value of each token during the presale is $1. BTC20 seeks to mimic Bitcoin’s action in 2011 when it sold tokens at the same value.

The remaining tokens – 14.95 million – will be locked inside a liquidity contract. They will be released in a predetermined amount to stakers as APY rewards. This unique stake-to-earn approach will release tokens over the next 120 years.

BTC20 seeks to make Bitcoin more eco-friendly by bringing it to the Ethereum blockchain. And it is walking in the same steps as Bitcoin to replicate its growth. While it is too soon to tell whether it will witness the same uptrend as the oldest cryptocurrency, BTC20’s value will likely pump once it lands in cryptocurrency exchanges after the current presale.

Those who seek to become early movers can go to btc20.com to participate in this presale.

The Verdict

The arrival of Worldcoin did take the world by storm, but not in the ways that many expected. WLD token has received the attention of regulatory authorities, and personalities are talking about it already, but not with a tone of appreciation.

The VC backing, the limited utility, and the subpar tokenomics have dropped its price to 51% from its all-time high – and the current trends don’t show any future upsides.

Security issues and fears regarding centralization also plague the WLD token’s value. For more insight into WLD, check out the Worldcoin price prediction video below.

A low market cap Worldcoin alternative could be BTC20. This Ethereum-based Bitcoin has gotten much attention during presale thanks to its eco-friendly nature. Experts are also saying that it is the best alternative to $WLD.

Buy BTC20

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