OpenAI’s Sam Altman Nears $100 Million Funding for Worldcoin Crypto Project, Pioneering Global Identification System through Iris Scans for Access to Free Global Currency

OpenAI’s Sam Altman is reportedly on the brink of securing approximately $100 million in funding for his ambitious Worldcoin cryptocurrency project. Worldcoin aims to establish a global identification system utilizing iris-scanning technology, granting users access to a universal cryptocurrency. This potential injection of funds comes as a rare positive development in the cryptocurrency sector, which has faced significant challenges over the past year.

According to sources familiar with the matter, Worldcoin is engaged in advanced discussions with both existing and new investors. Previous backers of the company include prominent firms such as Khosla Ventures, Andreessen Horowitz’s crypto fund, FTX founder Sam Bankman-Fried, and internet entrepreneur Reid Hoffman. The additional funding will support Worldcoin as it prepares for its imminent launch in the coming weeks.

Founded in 2019 by Sam Altman and Alex Blania, Worldcoin has operated relatively quietly in comparison to its sister company, OpenAI, which recently secured a multi-billion-dollar deal with Microsoft. Despite its low profile, Worldcoin harbors ambitious plans to leverage iris-scanning technology to create a global identification system. This system would grant individuals free access to Worldcoin, the cryptocurrency designed to function as a universal medium of exchange.

Last year, Worldcoin raised $100 million through a token sale, valuing the company’s tokens at $3 billion, as reported by tech-focused publication The Information. However, the cryptocurrency industry has experienced a challenging period since then, marked by a decline in token prices and the failure of several crypto projects, including FTX, a cryptocurrency exchange founded by Sam Bankman-Fried.

The collapse of FTX, which was supported by renowned venture capital firms Sequoia Capital, Tiger Global Management, and Thoma Bravo, prompted many established funds to reduce their investment activity in the crypto sector. Against this backdrop, securing substantial funding for a project like Worldcoin is a remarkable feat.

Worldcoin’s executives argue that their approach addresses two key concerns arising from the increasing sophistication of artificial intelligence: distinguishing between humans and bots and providing a form of universal basic income to mitigate job losses resulting from AI adoption. The company’s pivotal component is an orb that utilizes iris biometrics to establish a person’s unique identity and create a digital World ID, which can be used anonymously in various everyday applications without revealing the user’s real identity. Once an individual’s identity is established, they can receive free Worldcoin tokens.

However, Worldcoin has faced criticism on several fronts, particularly regarding privacy concerns associated with biometric scanning. The company has dedicated a section of its website to address these concerns, assuring users that it will not store iris scans and that the device poses no harm to users’ eyes.

Having operated in beta, Worldcoin is now preparing to launch its blockchain protocol and commence recording transactions in the next six weeks. As of now, Worldcoin has chosen not to comment on the ongoing fundraising efforts.

The potential success of Worldcoin’s funding round could signal renewed optimism in the cryptocurrency industry, which has faced significant challenges recently. If Worldcoin’s global identification system and universal cryptocurrency gain traction, it may pave the way for new possibilities in secure digital transactions and the integration of biometrics into everyday applications. Nonetheless, it remains to be seen how the project will navigate privacy concerns and establish trust among potential users.