- World Foundation raised $65M through an OTC sale of about 239 million WLD tokens at an average price of roughly $0.27 with a portion subject to a six-month lockup
- WLD trades near record lows after the sale while a July 23 community unlock for about 52.5% of the 10 billion supply and ongoing regulatory scrutiny add pressure
World Foundation, the entity behind the Worldcoin project, has raised $65 million through an over-the-counter sale of its WLD token, even as the token trades near record lows. The fundraising underscores the organization’s push to secure additional crypto capital for operations and development despite mounting regulatory pressure and a sharp drawdown in token price.
World Foundation’s $65M OTC token sale
In a post on X, World Foundation said its token issuance arm, World Assets, completed an OTC sale of WLD to four counterparties over the past week. The first tranche settled on March 20, with the total deal size amounting to $65 million. The tokens were sold at an average price of roughly $0.27 per WLD, implying that around 239 million tokens were transferred in the transaction.
According to the foundation, proceeds from the sale will support the crypto project’s core activities, including research and development, orb manufacturing, and ecosystem initiatives. Of the total tokens sold, $25 million worth are subject to a six-month lockup period, while the remaining portion is immediately liquid. The mixed lockup structure places some short-term constraints on selling pressure from buyers but leaves a majority of the newly sold supply available for trading.
The new round marks a substantial markdown from previous fundraising. In May last year, World raised $135 million at a price of approximately $1.13 per token from investors including Andreessen Horowitz and Bain Capital Crypto. The latest OTC pricing at about $0.27 per token reflects a significantly lower valuation for WLD in secondary markets.
Market impact and looming token unlocks
The announcement of the OTC sale coincided with fresh downside in the WLD market. Following the disclosure, the token briefly dropped to a new all-time low of around $0.24 before recovering to about $0.27. CoinMarketCap data shows WLD trading at $0.2725, up 0.28% over the past 24 hours, but still down roughly 97% from its March 2024 peak near $11.82.
Additional supply events are on the horizon. A major community token unlock is scheduled for July 23, covering approximately 52.5% of Worldcoin’s total capped supply of 10 billion tokens, according to DefiLlama. The scale of this unlock raises questions over future selling pressure and market absorption capacity, as more than half of the fully diluted supply becomes available to the community.
Taken together, the discounted OTC sale, current market price near historical lows, and the upcoming unlock place World Foundation’s tokenomics and treasury strategy under close scrutiny from crypto traders and analysts. How the project manages these supply dynamics will likely influence liquidity conditions and price discovery for WLD over the coming months.
Regulatory pressure around World Foundation’s biometric crypto model
Regulatory risk remains a central challenge for World Foundation’s crypto operations. In October last year, authorities in Thailand raided an iris-scanning site linked to the project. The Thai Securities and Exchange Commission, working with the Cyber Crime Investigation Bureau, alleged that the World-connected service may have breached digital asset regulations by operating without the required license. The action resulted in arrests and an ongoing investigation, placing the project’s local activities under formal scrutiny.
The Thailand case adds to a broader pattern of regulatory pushback across multiple jurisdictions. Since launching in 2023, the Worldcoin initiative has drawn attention from authorities in countries including Indonesia, Germany, Kenya and Brazil. Concerns have spanned licensing compliance and the handling of biometric data collected as part of the project’s onboarding process.
For World Foundation, these investigations intersect directly with its crypto business model. The project’s deployment of orbs for iris scanning, issuance of WLD tokens, and operation of related digital asset services all fall within evolving regulatory frameworks. Ongoing probes could affect where and how the organization can distribute tokens, run infrastructure, and expand its user base, potentially influencing both demand for WLD and access to new markets.
Conclusion
World Foundation’s $65 million WLD sale via World Assets provides fresh capital for its crypto operations but at a steep discount to earlier funding rounds and in a market where the token trades near all-time lows. With a large community unlock scheduled for July 23 and regulatory reviews continuing in several countries, the project faces a combination of token supply challenges and compliance pressures that will shape the next phase of Worldcoin’s development.
Disclaimer
The information provided in this article is for informational purposes only and should not be considered financial advice. The article does not offer sufficient information to make investment decisions, nor does it constitute an offer, recommendation, or solicitation to buy or sell any financial instrument. The content is opinion of the author and does not reflect any view or suggestion or any kind of advise from CryptoNewsBytes.com. The author declares he does not hold any of the above mentioned tokens or received any incentive from any company.
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