Singaporean regulators zoom in on Worldcoin

Singaporean data protection authorities have not specifically ruled out taking action against Worldcoin, but it is not currently under investigation after local police discovered illegal sales of the crypto platform’s accounts and tokens.

The Personal Data Protection Commission (PDPC) says it will continue to monitor Worldcoin and their collection of biometric data. The agency is currently in communication with Worldcoin over its obligations according to the Singaporean Personal Data Protection Act (PDPA).

“The PDPC may take enforcement action against organizations in Singapore that are found to have breached their obligations under the PDPA,” says the Singaporean Ministry for Digital Development and Information.

The Ministry also warned that malicious actors could misuse stolen biometric data to spoof an individual’s identity.

“Organizations that handle such data must ensure they put in place the necessary data protection and security arrangements to address these risks when designing and operating their systems and processes,” it says.

In August, police in the island nation launched a probe into seven people over illicit trading of Worldcoin accounts that did not belong to them. The individuals were reportedly paying around US$45 to create a Worldcoin account, which involves undergoing iris biometrics scans. Many of the sellers were reportedly migrant workers, the vast majority of which hail from developing countries in Asia.

Authorities believe that the accounts could be misused for criminal activities such as money laundering and terrorism financing.

The Ministry of Finance, however, noted that the Sam Altman-founded company does not seem to violate the country’s Payment Services Act 2019 which served as the basis for the arrest of Woldcoin account resellers. According to the rule, unlicensed persons cannot provide payment services. While Worldcoin itself does not offer payment services, persons who buy or sell Worldcoin accounts and tokens as a business could be providing a payment service in violation of that law, the Ministry explained.

Worldcoin launched its services in the financial center in January, rolling out 10 enrolment locations across the island by July.

Worldcoin is also facing regulatory hurdles in other parts of the world, including Latin America where the company is ramping up its presence. Despite this, the company has continued to roll out its iris biometric-scanning device the Orb in Malaysia, Ecuador and Austria.

World Chain adds new integrations

Worldcoin continues to expand its ecosystem through its World Chain, a blockchain linked to Worldcoin’s digital ID which allows developers to offer apps to users.

New integrations to the World Chain include unified search engine Dora, open interoperability framework Hyperlane, web3 development platform Moralis, payments platform Bridge and global payment infrastructure Unlimit Crypto.

World Chain is already working with Frieblock, Alchemy, Safe and Elliptic.

This post was updated at 2:08pm Eastern on September 13, 2024 to clarify that Worldcoin is not currently under investigation in Singapore.

Article Topics

biometrics  |  blockchain  |  cryptocurrency  |  data protection  |  iris biometrics  |  Personal Data Protection Commission (PDPC)  |  Singapore  |  World  |  World Chain