OpenAI has just launched a new model called OpenAI o1, and it’s creating quite a buzz, especially in the crypto world.

This model is different from the previous ones. It promises better reasoning skills and can handle complex tasks more effectively.

OpenAI emphasizes that this new series of AI models is designed to “think before responding.” They state, “We’ve developed a new series of AI models that take more time to think before they respond. They can tackle complex tasks and solve tougher problems in science, coding, and math than our earlier models.”

Even the smallest version of this new model reportedly outperforms GPT-4o in key areas, including tests that mimic PhD-level challenges.

However, the improvements in creative fields like writing and art have been less noticeable. This focus on specific enhancements has caught the eye of tech enthusiasts and professionals who want to use these AI tools for specialized tasks.

Financially, the impact was felt right away in the crypto space. The market cap for AI-related tokens rose by 2.1% in just 24 hours.

Worldcoin (WLD) saw a significant jump, rising about 16% after the announcement. As of now, it has stabilized at a 9.5% increase, trading at $1.518. This is particularly interesting because Sam Altman is a co-founder of both Worldcoin and OpenAI. Despite this connection, Worldcoin has faced its share of controversy due to its tokenomics.

Currently, out of a total supply of 10 billion WLD tokens, only 434 million are in circulation, according to the latest data from CoinMarketCap. This limited supply will increase by 2 million tokens daily starting July 24, with each batch valued at around $3 million.

This gradual release is expected to create some selling pressure in the market. A low float ratio of 0.02, as noted in a May 2024 CoinGecko report, suggests that only a small number of tokens are available for trading. This could lead to increased volatility as more tokens enter the market.

Critics, including blockchain analyst ZachXBT, have shared their thoughts on platforms like X (formerly Twitter). Opinions about Worldcoin range from cautious optimism to outright skepticism.

Marius Capital tweeted, “WLD has the worst tokenomics right now and is programmed to slow rug. I think short-term pump and dumps should be expected more often on WLD to attract buyers for exit liquidity, but for long-term price forecast, WLD to $0.1 is programmed.”