Singapore authorities are conducting an investigation into the unauthorized sale of Worldcoin accounts, raising concerns about potential data misuse and criminal activities such as money laundering and terrorism financing. The controversial cryptocurrency project, known for its use of iris biometric data, has come under scrutiny from regulators worldwide.
On Sept. 9, Deputy Prime Minister Gan Kim Yong, who also serves as chairman of the Monetary Authority of Singapore (MAS), revealed that a group of individuals in Singapore is being investigated for offering unlicensed third-party sales of Worldcoin accounts and tokens. This offense falls under the Payment Services Act of 2019. While Worldcoin itself is not considered a payment service under this act, those involved in buying or selling its accounts as a business could be violating the law.
Yong also emphasized the potential dangers of such illegal transactions, explaining that they could be exploited for illicit activities. The investigation currently involves seven individuals.
Globally, Worldcoin’s biometric data collection practices have raised red flags. In 2023, regulatory bodies in countries including India, South Korea, Kenya, Germany, and Brazil suspended the project’s iris scans, and European regulators highlighted concerns over potential violations of data protection laws. Despite these challenges, Worldcoin continued to expand, amassing over 10 million users as of April 2023.
In Singapore, the police have advised the public against selling or giving away access to their Worldcoin accounts, warning that such actions could result in misuse by third parties. Authorities also stressed the need for companies handling biometric data to comply with strict data protection regulations to prevent associated criminal risks.