The Worldcoin">Worldcoin (WLD) cryptocurrency plunged 14% after it emerged founder Sam Altman was ousted from his CEO role at AI lab OpenAI.
OpenAI’s board removed Altman, citing a lack of transparent communication. This triggered a swift selloff of the token for Altman’s iris-scanning crypto startup Worldcoin.
In 24 hours, over $140 million of WLD trading volume came from Worldcoin’s Binance listing. The project has faced ongoing controversy since its 2021 founding.
Critics attacked Worldcoin’s initial user acquisition tactics and privacy implications of scanning iris biometrics. Multiple countries blocked enrollment over concerns.
This year, WLD dropped from a $3.3 billion market cap to around $218 million currently amid the crypto downturn. Altman’s OpenAI departure may further erode confidence.
However, the broader AI coin sector seemed unfazed, with its market cap growing 30% in 24 hours.
The Worldcoin selloff highlights reputational risks as regulators increase scrutiny of crypto. Altman’s diminished industry standing adds uncertainty for the embattled project.
