Is the World Coin the next big thing?
Hey everyone, let’s talk a little bit about the 21 billion-dollar company with the weirdest concept in the world - scan your eyes and pay for that.
So is the World Coin the next big thing? Do you need to stop reading and start scanning your eyes right now?
That's a great question, and the problem is no one knows the full picture, but as usual pretty much everybody has an opinion about it, so since there’s attention why don’t we jump on that train as well?
What You Need to Know about World Coin:
- It’s been created by the same team as OpenAI (ChatGPT).
- It has a mind-blowing fully diluted valuation of $21bn. It’s like Cardano and Solana together or 50% of Binance’s BNB. Nice, right?
- They want to pay you for your eye scans which is crazy as hell.
- And the most important is that only 1% of the total world coin supply is actually in circulation right now.
- It’s highly overvalued.
There are a few things that we can understand from those facts.
- They have a vast amount of capital they can expend to pump it.
- An intrusive idea regarding the scanning of the eyes of crypto bros and paying for that.
- Last but not least, is that 99% of the sales pressure is still ahead. Sooo, if you’re still here reading and not scanning your eyes, let’s break some things down.
First, we don’t know for sure how high this token price can go, and for how long they could keep it at certain levels. They are interested to keep it high because they pay rewards in the token, so to convince people that it makes sense, the token should be relatively high in value.
Second, what we know is that it’s already worth 50% of the Binance Empire. Are eye scans worth so much for users? In 10-15 years when AI-built cyborgs will take over the world, probably yes, but in the current reality that’s a highly doubtful concept. At the same time, we live in a paradoxical time, when meme coins are worth billions.
To summarize it all, currently, it looks like a highly overvalued company with quite an uncertain business model and an even less clear perspective.
However, they have vast resources to keep it at certain levels for a very long time.
Technically, the risk-reward ratio from the VC analytical framework perspective looks not good at all. So as we said at the beginning, there’s no final answer on that yet, just an opinion.
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