Worldcoin’s Probe Dropped in Kenya, Clearing Path for Return

Worldcoin’s Probe Dropped in Kenya, Clearing Path for Return

Summary:

• Worldcoin probe in Kenya dropped: Kenya’s Director of Public Prosecutions has closed the investigation into Worldcoin, allowing potential resumption of operations.
• Worldcoin’s comeback: The cryptocurrency company plans to work closely with the Kenyan government and regulatory bodies to restart activities.

Details:

Probe and Legal Developments: Worldcoin, a cryptocurrency project by Tools for Humanity, is set to resume operations in Kenya following the closure of a probe by the country’s law enforcement agencies. The Directorate of Criminal Investigations (DCI) had investigated allegations of illegal data collection by Worldcoin in 2022 and 2023, leading to a suspension of its activities in August 2023. The probe’s findings were reviewed by the Office of the Director of Public Prosecutions (ODPP), which concluded that there was no need for further police action. This decision was communicated in a letter dated June 14, 2024 .

Recommendations for Future Operations: The DCI advised Worldcoin to ensure proper business registration and obtain necessary licenses from the Office of the Data Protection Commission (ODPC) and the Communication Authority of Kenya (CAK). They also recommended thorough vetting and legal contracting of third-party vendors .

Company’s Response: Thomas Scott, Worldcoin’s operations director, expressed gratitude for the fair investigation and the closure of the case. He highlighted the company’s intention to collaborate with the Kenyan government to resume World ID registration across the country. Worldcoin aims to provide Kenyans with opportunities to engage in the global economy through their digital identity system .

Privacy Concerns and Operational Suspension: Worldcoin’s operations were initially halted due to concerns over the privacy and security of the biometric data it collected. The project’s verification process involved scanning individuals’ irises to create a digital identity called World ID, which raised significant privacy issues. New users received 25 cryptocurrency tokens, valued at approximately KSh 8,256 at the time, after completing the verification .

Global and Local Developments: Globally, Worldcoin had launched on June 24, 2023, but faced scrutiny for its data collection practices. In Kenya, the project had scanned the irises of around 635,000 individuals, though not all had completed the verification process. The company has since introduced World ID 2.0, which enhances the distinction between bots and humans and supports integrations with platforms like Minecraft, Reddit, and Telegram .

Next Steps: Worldcoin’s potential return to Kenya signifies an opportunity for the company to rebuild trust and ensure compliance with local regulations. The company’s proactive approach to addressing previous concerns and its commitment to a transparent collaboration with Kenyan authorities will be crucial for its successful re-entry into the market .