Sam Altman’s Worldcoin to launch World Chain Layer 2

Worldcoin claims more than 10 million people across 160 countries have a World ID.
World ID-verified addresses would receive gas allowance and priority block space on World Chain.
World Chain would focus mainly on decentralized finance and identity apps as it targets summer launch.

Worldcoin (WLD) announced in a blog post on Wednesday that it would launch a Layer 2 network known as World Chain in the summer. Based on deep integration with the Worldcoin protocol, the new blockchain aims to leverage World ID to prioritize human transactions over bots.

Worldcoin to launch human-centric blockchain

Worldcoin has seen impressive growth since its launch nine months ago. Designed to help internet users privately prove their humanness by scanning their eyes with an orb, the project claimed to have garnered more than 10 million users across 160 countries.

However, Worldcoin transactions currently dominate most of the network activity on Optimism's OP Mainnet, and onboarding more users at this rate could affect efficiency and user experience. As a result, Worldcoin plans to launch its own Layer 2 chain called World Chain.

"World Chain is designed first and foremost to significantly increase capacity, so new people can continue to join at scale, and existing users can enjoy faster, cheaper and more reliable transactions," said Worldcoin in an official announcement.

Also read: Worldcoin to end personal data storage for its 4.5 million users to resolve privacy concerns

The statement said that World Chain aims to differentiate itself from the growing number of Ethereum L2s by prioritizing human transactions.

much like the rest of the internet, bad bots like airdrop farmers worsen many of the problems blockchains face today

people on world chain will have the option to anonymously verify their addresses as human with world id

fully delinked from their id, simply like a blue… pic.twitter.com/Y3xlcrTe0T
— tiago sada (@tiagosada) April 17, 2024

To incentivize address verification, the project would prioritize transactions from verified addresses and give them some free gas for casual transactions, said Tiago Sada, Worldcoin's Head of Product Engineering and Design. Gas fees would be in ETH and the WLD token.

According to the blog post, when it launches in the summer, World Chain will focus only on decentralized finance and identity applications.

Optimism also confirmed in a blog post that World Chain would be built using the OP stack and connect to the OP Superchain of several Optimism-based blockchains.

The announcement follows Worldcoin's regulatory struggles over biometric data privacy in Kenya, Spain and Portugal.

Since the announcement, WLD has posted gains, trading at $4.90, up 3.7% on the day. WLD's price movement has largely followed the news surrounding its cofounder, Sam Altman, and Open AI.

Worldcoin's announcement comes after OKX launched its XLayer L2 to the public Mainnet on Tuesday.

Share: Cryptos feed

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.