ZachXBT Calls $WLD Token a Predatory Low-Float Launch

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ZachXBT posted the accusation on X on April 28. He was replying to Elon Musk’s “Scam Altman” post. In his thread, he wrote that no one talks about “Scam Altman’s other company WorldCoin aka World.”

The Low-Float Launch Mechanics

At its core, ZachXBT’s criticism targets the Worldcoin WLD token launch from July 2023. Total supply was capped at 10 billion WLD. Yet only about 140 million tokens (1.4%) entered circulation at launch.

Of that small float, 100 million tokens went to market makers. That created artificial scarcity on thin order books. The opening fully diluted valuation hit $22 billion, despite minimal real liquidity.

The allocation split 75% to the World Community and 25% to the team, investors, and a reserve. Community tokens were distributed via iris-scan grants.

Daily linear unlocks began immediately with no cliffs. Team and investor portions later received extended lockups in July 2024. Those lockups stretched vesting to five years through 2028.

ZachXBT also alleged that Worldcoin “preyed on people from low income countries for biometric data.” He attached screenshots of verified World ID accounts for sale on escrow platforms for as little as $0.50. The thread also included evidence of large insider OTC sales.

He called the WLD launch “on par with SBF / FTX companies.” The post quickly gained traction across crypto social media.

Insider OTC Sales Draw Scrutiny

One of ZachXBT’s most pointed claims involves insider selling. He showed a March 2026 OTC transaction by a World Foundation-related entity. That entity reportedly sold 85.45 million WLD for $25 million through FalconX, at roughly $0.293 per token.

Community trackers cited in replies flagged about $64 million in similar OTC sales over a recent 90-day window. These sales go through over-the-counter desks to avoid public-market slippage.

The pattern echoes previous crypto cycles. Insiders realize value through private channels. Meanwhile, the broader holder base absorbs dilution from daily token unlocks.

Biometric Data and Black Market Accounts

ZachXBT’s accusations extend beyond tokenomics. He argued that the proof-of-personhood system preys on vulnerable populations.

Users in low-income regions across Africa, Latin America, and Southeast Asia scan their irises. They use the project’s Orb hardware in exchange for small WLD grants.

That model has sparked controversy since the project’s early days. A 2022 MIT Technology Review investigation documented recruitment practices involving “deception, exploited workers, and cash handouts.”

The system has also created unintended secondary markets. ZachXBT’s screenshots showed verified World ID accounts on Telegram channels and escrow sites. Accounts sold for fractions of a dollar, turning the credential into a commodity.

Several countries have banned or restricted Orb operations over privacy concerns. These include Kenya, Spain, and France, among others.

WLD Price Has Fallen 98% From Its Peak

The Worldcoin WLD token traded near $0.25 on April 28, 2026. That marks a decline of about 98% from its March 2024 all-time high near $11.82.

According to World’s official blog and Dune Analytics, 4.9 billion tokens (49% of supply) had unlocked by April 10, 2026. About 3.3 billion of those are circulating.

Daily unlocks combined with insider OTC sales create persistent selling pressure. As a result, WLD struggles to sustain price recoveries even during broader crypto rallies.

Worldcoin Has Not Responded to ZachXBT

Neither Sam Altman nor the World Foundation had responded to ZachXBT’s April 28 post at the time of publication. Worldcoin has previously defended its model by citing transparency around data usage.

The project rebranded to “World” in late 2024 to emphasize identity verification. Despite the rebrand, the WLD token and its supply mechanics remain unchanged.

What Comes Next for the WLD Token & ZachXBT

On July 24, 2026, World will cut the daily unlock rate by 43%. That is according to on-chain contracts and the project’s April 10 announcement. Daily unlocks will drop from about 5.1 million to 2.9 million WLD.

Community grants will be cut in half. Investor and team portions will decrease by 32%. That change will slow supply growth but not stop it.

Large unlocks remain on the calendar through 2028. Regulators that previously acted against Worldcoin could treat these allegations as grounds for tighter oversight.

ZachXBT’s post already prompted replies citing his past warnings about WLD unlocks. The crypto community’s long memory on this topic suggests scrutiny will continue. The World Foundation will need to address specifics around OTC flows and black-market prevention to quiet critics.

This article is for informational purposes only and does not constitute financial advice. Always do your own research before making investment decisions.