Worldcoin Plunges 5% As Elon Musk Sues Sam Altman And OpenAI For Breach Of Contract

Updated: 01 March 2024

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Sam Altman’s Worldcoin plunged more than 5% after Elon Musk filed a lawsuit against Altman’s OpenAI for breach of contract.

A Feb. 29 court filing shows that the tech billionaire accused Altman and OpenAI of breaching contractual agreements made when Musk co-founded the company in 2015, Reuters reported. Musk stepped down from OpenAI’s board in 2018

Worldcoin’s Bullish Momentum Interrupted By Musk Lawsuit

Although not directly related to OpenAI, the WLD price was negatively impacted because of its association with Altman. WLD plummeted more than 5% over the past 24 hours to trade at $7.52 as of 6:50 a.m. EST

The lawsuit said OpenAI co-founder Greg Brockman had originally approached Musk to launch an open source, non-profit company and that it’s focus now on making money breached that contract, Reuters reported, citing the lawsuit filed in San Francisco.

There was initially some controversy surrounding the WLD crypto when it launched, as it aims to scan everyone’s eyes in exchange for a digital identity and crypto tokens. Several governments opposed its activities on data privacy concerns.

Even with this controversy clouding the project, WLD’s price was able to set a new all-time high (ATH) on Feb. 19. This was after the number of users on the altcoin’s wallet application, World App, rose to more than 1 million.

World App, the first wallet built for the Worldcoin project, passed 1M daily users this week. This community is incredible 🫡 pic.twitter.com/Mf6Y51gscQ

— Worldcoin (@worldcoin) February 17, 2024

And WLD surged more than 30% in 24 hours after AI chip maker Nvidia reported stellar fourth-quarter earnings on Feb. 21. The project keeps pushing forward despite the controversies surrounding it. On Feb. 29, Worldcoin unveiled its new World ID dev portal in a post on X