In a recent announcement, Tools for Humanity, the company behind Worldcoin, revealed the upcoming launch of World Chain. Expected to debut in mid-2024, this open-source Ethereum Layer-2 blockchain aims to change the way human identity is authenticated through integration with the Worldcoin protocol.
Worldcoin Launches World Chain
Worldcoin is a project that aims to become the world's largest public network for identity and finance. Using iris scanning technology on smartphones or specialized devices called Orbs, Worldcoin converts biometric images into encrypted digital codes.
These codes, combined with algorithms, can verify an individual’s unique human identity. The World ID app is a digital passport that allows users to authenticate their identity across web, mobile and decentralized applications.
Tools for Humanity believes that the upcoming new blockchain is necessary to transition from the existing network to a dedicated infrastructure. According to the protocol’s website, more than 5 million people from 160 countries have signed up, and verified wallets have facilitated 49 million transactions.
However, with the launch of World Chain, Worldcoin aims to improve scalability, provide a dedicated network for its user base, and attract more users and participants to the project’s ecosystem.
The surge in automated transactions, estimated to account for 80% of all blockchain activity, has created challenges such as network congestion. World ID aims to address these issues and ensure an inclusive and secure ecosystem.
The announcement continued:
“Our current goal is to significantly increase the limit on L2 block gas fees. Since this comes with risks and cannot be done blindly, we are doing it in a safe way, supported by studying worst-case performance scenarios.”
Convenient token usage and fee payment
While Worldcoin transactions currently run on the Optimism OP mainnet, integration with World Chain will reportedly allow for frictionless deployment across multiple blockchain networks.
In addition, World Chain will maintain Ethereum as its native token, ensuring compatibility with the Ethereum ecosystem. However, Worldcoin token holders will be able to use their tokens to pay transaction fees.
At the same time, Worldcoin distributes Worldcoin tokens to verified individuals every two weeks, and these rewards can be used immediately in on-chain applications once issued.
Ultimately, as launch approaches, industry observers eagerly await the impact and acceptance of this new Ethereum Layer-2 solution. Despite Worldcoin’s vision, its market cap and token price have experienced volatility.
As of this writing, the Worldcoin project’s native token, WLD, is currently trading at $4.86. This represents a significant price drop of over 45% over the past 30 days, and a further 25% over the past 7 days.
According to CoinGecko, WLD’s market cap has dropped from a peak of $1.4 billion on March 26 to $950 million now.
However, there has been a significant increase in trading volume since the announcement, surging by 6.40%. Furthermore, the coin also experienced a slight gain of 3% following the disclosure. #Worldcoin #Layer-2
