Arthur Hayes Sells Worldcoin as SpaceX Pre-IPO Frenzy Begins to Fade

Arthur Hayes abandons his Worldcoin bet

Arthur Hayes has exited his Worldcoin position just days after publicly backing the token, citing weakness in SpaceX's pre-IPO market.

The BitMEX co-founder revealed on X that he had sold his entire WLD position after monitoring a sharp downturn in SpaceX's secondary-market valuation. Alongside a chart showing the decline, Hayes wrote:

The move surprised traders because Hayes had previously argued that Worldcoin could benefit from growing investor interest in artificial intelligence and high-profile technology companies.

What does SpaceX have to do with Worldcoin?

At first glance, a private aerospace company and a cryptocurrency project appear unrelated.

However, Hayes viewed both as part of the same broader speculative growth trade.

His thesis was that rising valuations in pre-IPO technology markets reflected strong investor appetite for AI-driven and high-growth assets. As one of crypto's most recognizable AI-linked projects, Worldcoin stood to benefit if that enthusiasm continued.

That projection weakened after SpaceX's secondary-market valuation began falling sharply.

Reports cited by Hayes showed a significant decline in SpaceX's private-market valuation, undermining one of the key pillars supporting his bullish view on Worldcoin.

WLD extends losses as sentiment shifts

Worldcoin came under additional pressure following Hayes' announcement.

The token had already been struggling amid broader market volatility, but sentiment deteriorated further after one of crypto's most closely followed macro investors publicly exited his position.

While a single investor rarely determines a token's long-term direction, Hayes' trades often attract attention because they are tied to broader market themes rather than short-term price fluctuations.

The development quickly sparked debate among traders about whether speculative capital is beginning to rotate away from AI-themed crypto assets. It has caused the institutional players to play averse as they observe the market tension.

Open interest for Worldcoin futures has also taken a sharp drop, according to Santiment data.

Source: Santiment

Is the AI trade losing momentum?

The bigger question is not whether Hayes sold Worldcoin. It's why AI-related narratives have driven significant inflows across both traditional and digital asset markets over the past year . Worldcoin, co-founded by Sam Altman, became one of the most prominent crypto beneficiaries of that trend.

However, weakening demand in SpaceX's pre-IPO market suggests investors may be becoming more selective about growth-oriented and AI-linked trades.

That does not necessarily signal the end of the AI narrative. But it does indicate that market participants are paying closer attention to valuations rather than chasing momentum alone.

For now, Hayes' exit serves as another reminder that even the strongest narratives can lose steam when broader risk appetite begins to cool.