Worldcoin (WLD) Prices Surge After Token Lock-up Extension Announcement
Worldcoin, a cryptocurrency project, recently made headlines as it announced an extension of the token lock-up period for early project contributors from 3 years to 5 years. This decision had a significant impact on the price of the WLD token, causing it to surge by more than 20% in a single day, reaching a high of $2.42.
Positive Reaction to Tools for Humanity Partnership
The market reacted positively to the news of the token lock-up extension, particularly in response to the collaboration with Tools for Humanity (TFH), a development team involved in the Worldcoin project. The decision to extend the lock-up period for tokens held by team members and investors was seen as a sign of long-term commitment to the project’s mission.
As a result, investors and traders showed renewed confidence in Worldcoin, leading to a significant uptick in the price of the WLD token.
Impact on Token Distribution and Circulating Supply
With the extension of the lock-up period, the distribution of WLD tokens among early contributors is set to follow a linear unlocking schedule starting in July 2024. This move is expected to stabilize the token supply and prevent sudden sell-offs that could negatively impact the token’s value.
Furthermore, the Worldcoin project has seen significant adoption, with over 6 million individuals obtaining World ID verification through sphere scanning. This has led to a substantial number of token claims, accounting for a significant portion of the cryptocurrency’s circulating supply.
Future Outlook for Worldcoin
As of now, the WorldCoin community pool still holds a substantial amount of WLD tokens, reflecting the long-term sustainability efforts of the project. Despite the recent price surge, the token remains below $5, partly due to regulatory challenges such as the ban on biometric data collection in Hong Kong.
Moving forward, the extended lock-up period and continued development efforts by Tools for Humanity are expected to drive further growth and stability in the Worldcoin ecosystem.
