Impact of Sam Altman’s OpenAI Controversy on Worldcoin Token Value
The recent controversy surrounding Sam Altman’s dismissal from OpenAI has had a significant impact on the value of WLD, the token issued by Worldcoin, a cryptocurrency co-founded by Altman.
According to FXStreet, the drama surrounding Altman’s exit from OpenAI and potential reinstatement has captured the attention of the crypto space, resulting in unpredictability in the Worldcoin digital token’s market behavior.
As of today, the trading price of Worldcoin (WLD) has reached $2.43, indicating a strong recovery for the cryptocurrency. This marks a significant gain of 19% in the past 24 hours and an impressive 24% rally in the last week, according to data from crypto price aggregator Coingecko.
Worldcoin’s Unpredictable Market Behavior Amid Altman’s Controversy
Following Altman’s dismissal from OpenAI, WLD experienced a decline from a high of $2.50 on November 16. The token dipped to $1.85 in the hours following his departure, as reported by CoinGecko.
Worldcoin is currently working on a digital identity network that collects retina scans to verify users’ identities. The project’s orbs collect users’ retina scans and compensate them with WLD tokens for providing their biometric data.
Despite the unrelated nature of the two projects, events at OpenAI, where Altman acted as a go-between for Worldcoin and WLD, continue to impact the token’s price. With a market value of approximately $280 million, WLD holds the 160th position in the crypto market, as reported by CoinGecko.
The surge in the token’s value is intricately linked to the news surrounding Altman and the uncertainties arising from his removal at OpenAI, according to Richard Galvin, co-founder at Digital Asset Capital Management.
Altman As The Face Of Worldcoin: Impact On Investor Appeal
As events unfolded, the token experienced a rebound, gaining momentum as it became evident that there was no significant negative event fueling the board’s decision. Greta Yuan, head of research at digital asset platform VDX in Hong Kong, predicted that WLD will experience additional volatility in the coming weeks.
Altman’s role as the face of Worldcoin has a significant impact on the token’s appeal to investors. Depending on how the drama plays out in the next few days, the token may fluctuate, but its appeal to investors will not diminish, Yuan said.
Meanwhile, OpenAI’s stock dropped to $2.04 over the weekend after the announcement of Altman’s resignation as chief executive, but the company’s efforts to reassign his role as CEO helped propel the stock back up.
(This site’s content should not be construed as investment advice. Investing involves risk. When you invest, your capital is subject to risk).
Featured image from Business Wire
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About the author - J-S Tremblay
I've been involved in the cryptocurrency world since 2016 and trading since 2019. I started Moon and Lambo in 2021. I'm passionate about crypto and love to share my knowledge. I hate bankers and I hope that cryptocurrency will change the financial world for the better. View full profile...
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