Analysis: Worldcoin faces market value bubble risk, latent issuance may trigger price peak fallback

DeFi researcher @DefiSquared's latest analysis points out that Worldcoin (WLD) currently has a FDV of up to 90 billion USD, surpassing the valuation of OpenAI itself. This is mainly driven by its extremely low circulation and narrative/meme status. However, this situation may change soon. According to the analysis, most buyers at current prices are not aware that new "hidden" emissions have begun to increase exponentially. In the coming weeks, Worldcoin will directly distribute more than 10 million WLDs (equivalent to about 92 million USD at current prices) to retail wallets and continue issuing them at higher rates every two weeks. Compared with the July VC/insider unlock date that many investors focus on, in fact, WLD's circulating supply is steadily increasing every week.

 

In addition, the Worldcoin Foundation has full control over unlocked foundation treasury liquidity and could potentially conduct over-the-counter trades (OTC) under currently inflated prices. The co-founder of Worldcoin stated outright last August that the original intention of market-making agreements was to "prevent price surges similar to $10", so it’s possible for the foundation might intervene anytime to suppress price fluctuations which could instantly form a permanent top. WLD's current market value has reached 1.4 billion USD far exceeding its previous market value of 2 million USD; contraryly from public expectations there would be no unlocking before July but instead WLD's circulating supply will rapidly inflate each week . Therefore buying in now means an extremely high risk entering at historical highs and as time goes by this risk increases daily . As a reminder according past bull market data approximately 97% among top-200 alternative tokens eventually fell by 90% or more , WLD being valued higher than OpenAI won't be an exception either . Although @DefiSquared believes this is a generational short-selling opportunity he emphasizes such coins often get pushed to prices higher than people expect and still have a high probability of rising before forming a permanent peak . Most people may not have the patience margin or willpower to stay short when it first rises . But at least given how quickly things here could change holding spot carries extreme risk.