Worldcoin delays unlocking tokens, triggering allegations of price manipulation and fraud

Overview of the event

Worldcoin delayed the unlocking of its native token WLD by 2 years, from 3 years to 5 years. The move triggered accusations of price manipulation and fraud in the community as the token price soared immediately after the announcement. Investors accused the Worldcoin team of using insider information to manipulate the market and profit from price increases.

Allegations

The DeFi Squared account tweeted that the Worldcoin team changed the issuance volume, market maker contracts and announcement time several times before the token was unlocked, causing large fluctuations in the token price. Cryptocurrency analyst ZachXBT said that Worldcoin team members may have used insider information to buy tokens before the news was announced, and accused them of allowing insiders to profit from the increase in token prices.

Worldcoin's response

Worldcoin denied all allegations and said that the delay in unlocking tokens was in the long-term interest of the project. The company also said that its team members followed a strict insider information policy and did not engage in any misconduct.

Potential impact

The allegations could damage Worldcoin's reputation and hinder its development. If the allegations are proven, Worldcoin could face legal action or regulatory penalties. This incident could negatively impact other cryptocurrency projects and heighten investor concerns about the industry.

Investors should be aware

Before investing in any cryptocurrency project, one should carefully research and understand the risks involved. Investors should be wary of possible manipulation or fraud and avoid investing in projects with poor reputations.

Here are some factors that could affect the future of Worldcoin:

The results of the investigation into allegations of price manipulation and fraud The community's reaction to the project The overall state of the cryptocurrency market

Overall, the Worldcoin token unlocking delay has triggered a series of negative reactions that could have a significant impact on the future development of the project. Investors should invest with caution and keep a close eye on developments.