FTX estate prepares to sell locked Worldcoin tokens. The FTX estate is set to auction 22.3 million locked Worldcoin (WLD) tokens, currently valued at around $37.7 million, at a significant discount, according to three sources familiar with the situation.
The sale is part of the estate's ongoing effort to recover funds for creditors. Interested buyers must submit their bids for the WLD token sale by 8 PM ET Wednesday. Those parties will be notified by Thursday if their bids are accepted.
The discount on the WLD tokens could range from 40% to 75% off the current spot market price of WLD, which is trading at around $1.69.
The FTX estate holds a total of 22.3 million WLD tokens, indicating that there will be no further auctions for these tokens. The WLD tokens will unlock daily through 2028.
Specifically, 20,539 WLD tokens will unlock daily from Dec. 1, 2024, to July 24, 2026, and 13,689 WLD tokens will unlock daily from July 25, 2026, to July 24, 2028.
Concerns have been raised about the length of the lockup periods for the WLD tokens. Earlier this week, Figure Markets co-founder and CEO Mike Cagney mentioned on X that the FTX estate is auctioning its WLD token position, potentially at a discount of around 75%.
Cagney also noted that Figure Markets might establish a fund to participate in the WLD token auction, similar to its previous involvement in the FTX estate’s Solana (SOL) auction earlier this year.
The FTX estate has previously sold SOL and Metaplex (MPLX) tokens before moving on to WLD. In May, the estate concluded the sale of its $7.5 billion stash of discounted Solana tokens, attracting interest from high-profile investors like Pantera Capital.
According to Arkham data, the FTX estate now holds approximately $594 million in remaining assets, with a significant portion, around $541 million, in the form of FTX's FTT token, which is highly illiquid.
Disclaimer: This article is for informational purposes only and should not be considered as legal, tax, or investment advice.
