- Noted trader DefiSquared from Bybit exchange has issued a warning about Worldcoin (WLD), a cryptocurrency project established by OpenAI’s CEO, Sam Altman.
- DefiSquared has raised concerns about the aggressive selling of the coin in the coming months, as more of it becomes unlocked.
- The trader also claims that Worldcoin has no connection with OpenAI, and that Altman is not actively involved in the project.
Worldcoin (WLD), a cryptocurrency project by OpenAI’s CEO, Sam Altman, is under scrutiny by a prominent trader, DefiSquared. The trader warns of aggressive selling and questions Altman’s involvement in the project.
DefiSquared Warns of Aggressive Selling
DefiSquared, a well-known trader on the Bybit exchange, has raised concerns about the potential for aggressive selling of Worldcoin (WLD) in the coming months. According to DefiSquared, many people are unaware of how much of the coin will be unlocked and sold off in the near future. The trader predicts that coins allocated to investors and the project team will be unlocked within 70 days, leading to a daily inflation rate of up to 4% for WLD.
Concerns Over Insider Selling
DefiSquared further elaborates that this could result in those with inside knowledge of the coin creating a constant selling pressure of approximately $50 million per day. The trader also alleges that the Worldcoin Foundation plans to sell $200 million worth of WLD to trading firms. Projects like these, DefiSquared suggests, are designed to directly reward the project team and early investors, raising further concerns about the potential for insider selling.
Questioning Sam Altman’s Involvement
Adding to the controversy, DefiSquared has claimed that Sam Altman, CEO of OpenAI and founder of Worldcoin, is not actively involved in the cryptocurrency project. The trader also asserts that there is no connection between the project and OpenAI, contradicting the common perception that Worldcoin is an OpenAI initiative.
Conclusion
The warning from DefiSquared brings to light potential risks associated with the Worldcoin project, particularly in terms of aggressive selling and insider trading. It also raises questions about the involvement of Sam Altman and the project’s connection to OpenAI. Investors are advised to exercise caution and conduct thorough research before investing in such projects.
