Worldcoin denies insider trading and price manipulation allegations

PANews reported on July 23, according to Cointelegraph, that the digital identity project Worldcoin has denied recent allegations of allowing insiders to profit from its token fluctuations and emphasized a "zero tolerance" policy for such activities. On July 17, DeFi insight account DeFi Squared posted an X post accusing the Worldcoin project of suspected price manipulation and claimed that someone in the team might have "used insider information" to purchase tokens before the project announced a delay in unlocking its native tokens. In addition, anonymous cryptocurrency investigator ZachXBT also accused Worldcoin of allowing insiders to profit from their "scam tokens". ZachXBT stated that both members of the Worldcoin team and venture capitalists participated in "the biggest scam token in bull market".

A spokesperson for Worldcoin denied these accusations against it, stating they are taking these allegations seriously and will not allow such activities. The spokesperson said: “The Worldcoin Foundation and donor Tools for Humanity will take any allegations of insider trading seriously; even if these allegations are baseless or unconfirmed, we will adopt a zero-tolerance attitude if such behavior occurs.” The spokesperson added that neither organization has found evidence confirming insider trading activity or price manipulation claims. They maintain strict market integrity policies to prevent such activities; personnel covered by their insurance are always prohibited from disclosing confidential information related to WLD purchasing decisions; during relevant periods they were under active lockdown prohibiting them from participating in any WLD trading activities.