World Raises $52.5 Million in Crypto Token Sale
Online verification startup World, co-founded by OpenAI's Sam Altman, has secured $52.5 million in funding through a crypto token sale.
World, operated by Tools for Humanity, aims to popularize its World ID, an anonymous digital marker that verifies human identity. The company's mission is to combat the increasing prevalence of bots and AI agents online, which it believes will become a major issue in the future.
The funding round saw participation from a range of strategic investors, including Pantera Capital, Eightco Holdings, Bain Capital Crypto, Susquehanna Crypto, and Selini Capital. The investors joined a 12-month lockup sale of World's token, WLD, which will prevent them from selling or trading their tokens for a year.
The funds raised will be used to support the World Foundation, an exempted limited guarantee foundation based in the Cayman Islands. The foundation will steward the expansion of World's network and help the company achieve its mission.
World's project began as a more overtly crypto-based experiment under the name 'Worldcoin.' However, the company later rebranded to World amidst a broader backlash against the crypto industry. Despite its global ambitions, World has struggled to scale its business or convince consumers to care about its mission.
The company has launched a new version of its app and announced partnerships with companies like Tinder and Ticketmaster. However, in June, Tools for Humanity conducted a round of layoffs, highlighting the challenges faced by World in scaling its business.
World's online verification system involves users having their eyes scanned by an Orb, a metallic ball that converts a user's iris into a distinct cryptographic identifier. The company's Orbs are located at its offices and have also been deployed at partner stores around the world.
The World project has the potential to revolutionize online identity verification and combat the growing problem of bots and AI agents online. However, the company still faces significant challenges in scaling its business and convincing consumers to care about its mission.