Open AI CEO Sam Altman launches new crypto network Worldcoin

OpenAI CEO Sam Altman on the Future of AI

Open AI CEO Sam Altman launched his newest crypto project, Worldcoin, on Monday. The project’s core lies in its World ID, where holders can prove they are human, not AI, using innovative biometric authentication.

Worldcoin’s developer, Tool for Humanity, described World ID as a “digital passport.” This feature requires an in-person iris scan with Worldcoin’s “orb” — a silver ball the size of a bowling ball — to create cryptographic representations. Customers can establish a World ID after their scan is verified.

Worldcoin has two million users from its beta phase. With its launch on Monday, the project expands its operation to 35 cities in 20 countries, including Barcelona, Berlin, Buenos Aires, New York, Seoul and Tokyo. Upon signing up, new users will receive Worldcoin native token WLD.

On Monday, WLD’s price rose in early trading. On Binance — the world’s largest crypto exchange — the token peaked at $5.29 from its starting price of $0.15. Eventually, it settled at $2.49 at 1000 GMT. During this period, Binance recorded the overall trading volume for WLD hit $25.1 million.

WLD is now accessible through personal crypto wallets. Besides Binance, the token has been listed on major crypto exchanges like Huobi and Bybit.

Worldcoin co-founder Alex Blania told Reuters that blockchains could store World IDs in a way that preserves privacy and cannot be controlled or shut down by any party.

“In the age of AI, the need for proof of personhood is no longer a topic of serious debate. Instead, the critical question is whether or not the proof of personhood solutions we have can be privacy-first, decentralized and maximally inclusive,” said Blania.

Altman argued that World ID would be necessary for customers in this current era where generative AI chatbots like ChatGPT produce human language.

World ID also comes with the World App, a mobile application that allows users to use earned tokens. It can assist users in proof of personhood, Worldcoin Grants — token stipends distributed to eligible individuals on a weekly cycle — and token transactions.

Concerns related to privacy

Worldcoin initially sparked concerns among privacy advocates due to the use of iris-scanning technology as a basis of its “humanity-proof” network. The iris scans made them worried about customers’ security.

The project, however, assured users that it does not store actual images of people’s eyes, only the encrypted data needed for verification. This approach was implemented to prevent individuals from attempting multiple signups and to maintain the platform’s integrity.

Tools for Humanity secured substantial funding in May through a Series C funding round led by Blockchain Capital. The funding round raised $115 million, providing Tools for Humanity a financial boost for its global expansion plans.

The company also revealed plans to develop a network and support universal basic income (UBI) if artificial intelligence were to disrupt traditional labor markets. Altman said UBI would create a shift in the economy and help combat income inequality created by AI since AI would replace some of human work.

Despite the optimism, Altman said UBI would only exist on a global scale in the “very far future.” He also had no clear idea of what entity would manage the fund in that era.