Worldcoin Consolidates Below $5 Amid New SMPC System, Deletes Iris Codes - Can It Trigger Bullish Breakout Amid Regulatory Hurdles?

In a move to enhance data privacy and security, the Worldcoin Foundation has unveiled a new open-source system based on Secure Multi-Party Computation (SMPC) for handling biometric information more safely. This development comes amid increasing regulatory scrutiny and concerns around biometric data and personal data protection.

As of press time, Worldcoin is trading at $4.89, down 1.94% in the last 24 hours. It has a market cap of $1 billion and a 24-hour volume of $181 million, a 31% drop in the same 24 hours.

Worldcoin has faced probes in various countries, including Germany, Argentina, and Kenya, as well as a ban in Kenya. Recently, regulators in Spain and Portugal alleged that children were allowed to submit to eye scans and obtain a blockchain-based identity, leading to orders to stop collecting data.

Recognizing the sensitivity surrounding biometric data, Worldcoin has been compelled to continue building new technologies that align with stringent data protection measures. The foundation, in collaboration with TACEO, has successfully applied the new SMPC system for Machine Learning to Iris codes, enabling the establishment of an individual's uniqueness while prioritizing data security.

As part of this transition, the Worldcoin Foundation has successfully deleted the previously collected iris codes while retaining the ability to establish uniqueness among individuals. The new open-source software is currently available in the GitHub repository, allowing interested developers to use and improve the system. By open-sourcing the SMPC system, Worldcoin aims to establish a new standard for data security and encourage transparency and collaboration within the developer community.

Despite the regulatory challenges, Worldcoin appears determined to expand its reach and forge partnerships with major tech companies, including OpenAI, the company behind the renowned language model ChatGPT and PayPal.

In April, the Worldcoin Foundation made several significant announcements, including the opening of applications for Wave 1 of the Worldcoin Foundation Community Grants Program and the introduction of World Chain, a new blockchain designed specifically for humans.

WLD Technical Analysis

WLD has witnessed a 68% correction since hitting its all-time high of $11.9 in early March, reaching a low of $3.7 on April 13th. Since then, the price has been trading within a ranging channel between $4.2 and $6.0 for over a month now.

If WLD manages to break out and close above the $6.0 resistance level, it could signal a potential reversal in trend, allowing for higher targets. However, if a breakdown and close below the $4.0 level occurs, it could delay the reversal of the bearish trend and potentially lead to further continuation.