Crypto News– Following its launch approximately one month ago, Worldcoin’s WLD token has encountered a 9.1% decline within the last 24 hours and has seen a significant 43.6% drop over the past 30 days. As of 4:15 p.m. HKT, WLD is trading at approximately $1.33, in contrast to its value of $2.36 just a month ago, as reported by CoinGecko data.
“The recent downward trajectory in the price of Worldcoin’s WLD token is a concerning trend, particularly when juxtaposed with the ongoing recovery observed in other tokens such as Ripple’s XRP,” remarked Jeff Mei, the Chief Operating Officer of crypto exchange BTSE, during an interaction with The Block today.
Worldcoin’s WLD Token Witnesses a 44% Drop Within a Month of Being Launched
Mei underlined that despite its recent debut, Worldcoin is grappling with regulatory obstacles stemming from apprehensions about data privacy.
The resultant backlash has resulted in the exclusion of U.S. residents from engaging in the purchase or trade of the token, exacerbating the selling pressure
Mei
He also mentioned, “Furthermore, there have been reports indicating Kenya’s parliament establishing a committee to investigate Worldcoin’s operations within the country.”
The lead developer of the Worldcoin initiative, Tools for Humanity, was co-founded in 2019 by Sam Altman, Alex Blania, and Max Novendstern. The project’s core emphasis centers around encouraging users to establish their online identity by enrolling for a World ID using iris scan technology.
As of now, there has been no immediate response from Tools for Humanity to The Block’s request for comment.
Worldcoin Faces Government Resistance
Kenya, a market where Worldcoin had garnered hundreds of thousands of customers, recently imposed a suspension on Worldcoin earlier this month. As of December 2022, it was reported that Worldcoin had enlisted over 250,000 individuals in Nairobi, the capital city of Kenya.
In addition, Bavaria’s State Office for Data Protection Supervision commenced an investigation into the project last year, driven by concerns surrounding the potential use of sensitive data.
“Several factors appear to be influencing the downward trajectory of WLD,” Mei commented. “However, the primary element impacting market sentiment towards WLD centers around the intensified scrutiny related to data collection and storage practices.” Mei emphasized that while the broader market performance indeed influences the daily performance of individual tokens, including WLD, an equally significant factor is Worldcoin’s adeptness in navigating regulatory challenges and fulfilling compliance requisites.”
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