The world of cryptocurrency has expanded since Bitcoin became big on the market. While the asset is now closer to global adoption than ever, issues linked with mining intensify, and slow transaction processing has led to the development of altcoins, which are any coins other than Bitcoin.
The developers behind most of these assets designed altcoins with ease of access, low-cost transactions, and rapid processing in mind, which is why coins like Ethereum, Solana, and Worldcoin have become great competitors.
However, even altcoins with large or medium market capitalization are struggling to maintain scalability due to their growing ecosystems. Enter Worldcoin, a solution to real-world challenges and a growing ecosystem, with more and more users across the world pushing for the Worldcoin price to help further improvements so that it will become a significant tool of the future.
Let’s see how altcoins contribute to the market and what Worldcoin’s approach is to stabilizing both.
Why are altcoins important to the industry?
Altcoins are addressing industry challenges by developing innovative solutions. For example, while Bitcoin mining is not environmentally friendly, Ethereum resorted to staking to create new coins and maintain the network, which requires no expensive computational power or intensive electricity.
Another issue in crypto is speed. We measure a project’s efficiency by TPS (transactions per second) to see how fast a blockchain can process transactions without leading to congestion:
- Bitcoin can process up to 7 TPS;
- Ethereum is able to process 15 TPS;
- Solana is capable of approximately 4,000 TPS;
Finally, altcoins and their blockchains are renowned for their affordable transaction prices. Bitcoin has become popular for its largest transaction fee in history, $3.1 million, which can happen due to network congestion. Therefore, ledgers like Litecoin, Stellar, and Ripple maintain an affordable rate for most transactions, so all users can benefit from decent transactions.
What makes Worldcoin an innovative altcoin?
Like most altcoins, Worldcoin is approaching innovation in crypto through its use of artificial intelligence.
It also addresses a pressing matter in the midst of growing high-tech: proving a person is not a bot or AI. The project introduced a method of recognition called the Orb, which scans people’s irises for unique identification. This process allows people to get Worldcoin, as it generates an identifying code for every person. The Orb has been expanding already, and it’s present in more than 35 countries in scanning facilities.
The project also received an update based on a multi-party computation (SMPC) system through which biometric data will receive better protection. The new addition will encrypt the iris code and hold it across multiple parties. So, for those interested in getting Worldcoin, these are the steps required:
- Downloading the World App and connecting it with the WalletConnect;
- Signing up for World ID and visiting a Worldcoin Operator to benefit from a free share of coins;
- Using the Worldcoin tokens to receive free BTC and ETH airdrops;
What other features are included in the Worldcoin ecosystem?
The Worldcoin world has expanded by focusing on decentralization and real humans. The focus is to bridge the gaps between technology and humanity. Therefore, it includes tools like:
- The World Chain, a blockchain secured by Ethereum and protected through Sybil resistance;
- The World App that acts as an exchange, storage for the World ID, and access to mini apps;
- The Mini App section benefits World users through integrations like wallets and exchanges;
The Worldcoin ecosystem merges with various apps and projects to bring decentralization closer to the real world. For example, users can leverage the benefits of Etherscan on the chain to explore Ethereum transactions, or Reth for modular full-on node implementation.
In addition, the World App provides high availability to Mini Apps and other features. Users who get the app can prove they’re unique humans through World ID and exchange digital assets across different markets. The app is simple and sleek while maintaining features of decentralization.
On the World Tech Tree and its implementations
The World Tech Tree consists of essential actors and features within the ecosystem, such as the following:
- The user agent is a self-custodial wallet that allows users to handle the keys for managing their tokens and identity;
- The hardware is the Orb, the open-source device that verifies if users are truly human;
- Operations involve World Operators who maintain the Orbs, receiving rewards in WLD in exchange;
- The protocol has off- and on-chain components managing authentication and verification;
- Governance includes the independent World Foundation entity responsible for the voting infrastructure and developer meetups;
Everyone who is part of the Worldcoin ecosystem contributes to its development. For example, an upcoming feature on the chain includes a Worldcoin Improvements Proposals (WIP) along with the already established Grants Program, to continue improving the decentralized network.
Worldcoin is the perfect example of fostering technological advancement
Worldcoin is one of the most revolutionary altcoins, bridging the gaps between the real world and the decentralized environment. It also proves the importance of altcoins in the world, as they heavily contribute to technological improvements and efforts to push for adoption.
Although established projects like Ethereum and the Bitcoin store of value have made cryptocurrencies more approachable and the blockchain technology less overwhelming, their rapid growth has led to environmental and gas fee challenges.
On the other hand, Worldcoin has built a network based on sustainable features, including a transparent fee structure for applications to create value from human verification. The ecosystem works through a proof-of-personhood protocol, but it is also supported by proof of human credentials, per-proof fees, and proof-assurance for other fee levels.
Worldcoin is part of the altcoin future
While Worldcoin is still not considerably popular, it drives improvement in the industry, along with other altcoin projects. These efforts tackle speed, safety, and eco-friendliness in the crypto industry, as opposed to the traditional financial system, which is becoming more unsustainable due to society’s rapid changing pace.
Supporting a financial ecosystem in which everyone has the chance to access banking features and control their own finances becomes more pressing as privacy concerns, social disparities, and distrust of banks persist.
Future generations will have different demands in what accounts for managing finances, using financial products, and safeguarding their future, so projects like Worldcoin and other altcoins contribute to this development by making decentralized products more approachable. While a current dApp’s interface might seem complex and unfinished at the moment, this will change in the near future.
What other altcoin projects are worth mentioning?
As the number of altcoin projects is increasing, creative developers come up with unique solutions to the challenges decentralization faces. Some of the most interesting projects include the following:
- ChainLink provides decentralized oracle networks for developers to connect smart contracts to randomness data, payment providers, or any type of data sets;
- TRON is an advanced decentralized blockchain platform that supports high throughput, high scalability, and high availability for dApps;
- Polygon is a blockchain made for contributing to a multi-chain blockchain system for the Ethereum network;
Most of these platforms live on the Ethereum blockchain, whose smart contract functions and innovative development tools are making it easier to deploy innovative projects. Moreover, chains built on Ethereum receive their security and scalability capabilities, promoting a future ecosystem in which the blockchain trilemma is solved.
The introduction of AI into altcoin projects
Another aspect worth mentioning regarding altcoins is their openness to try new technologies, such as artificial intelligence. Considering the opportunities it could bring into the industry, including high-tech security and adaptability, AI has the potential to take smart contract automation to the next level.
In the case of Worldcoin, the developers aim to build the foundation of a proof-of-human system that can still benefit from AI. Even the Orb is powered by NVIDIA Jetson processors that run AI models to scale the verification technology across the world. However, the project is aware of the potential risks of AI, including the technology’s ability to create content that makes it challenging to distinguish it from the real world.
AI can contribute to an advanced investment environment through predictive analysis tools and automated risk management systems, but it can also help blockchains evolve through increased efficiency, scalability, and decentralized intelligence.
Some of the blockchains that leverage the power of AI include the following:
- The Graph combines a data-driven approach with an AI-centric component to assist with data queries for Ethereum;
- Fetch AI works on transforming legacy systems into AI-friendly technologies without harming APIs (application programming interface;
- Bittensor is a protocol enhancing marketplaces for machine learning to become a conventional commodity;
Final considerations
Worldcoin is an altcoin whose contribution to the crypto industry stands in its human-centric approach, combined with decentralization and AI systems. With its revolutionary blockchain and governance token, the network rewards users for contributing, while helping them prove their humanness through the Orb. Worldcoin is only one of the many altcoin projects that will pave the way towards the tech future.
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