SINGAPORE, Friday, September 13, 2024 – Singaporean authorities have launched an investigation into seven individuals suspected of offering services to buy and sell Worldcoin accounts and tokens, Deputy Prime Minister Gan Kim Yong announced Monday.
The probe focuses on potential violations of the 2019 Payment Services (PS) Act.
Though Worldcoin does not fall under the PS Act, those involved in the buying and selling of its accounts or tokens may still be engaging in unregulated payment services, according to the Monetary Authority of Singapore. Kim Yong cautioned consumers against giving up control of their digital payment token wallets or World IDs, warning of potential misuse by third parties.
The investigation follows a separate operation last month, during which five individuals were arrested for allegedly facilitating the sale of Worldcoin accounts. Police seized over 200 mobile phones as part of the evidence. Initial findings revealed that several men recruited individuals to create Worldcoin accounts, later taking control of those accounts in exchange for cash. The accounts were transferred to others for management.
Worldcoin, a global identity project led by Sam Altman, Max Novendstern, and Alex Blania, has faced increasing regulatory scrutiny over its use of biometric data. Authorities in multiple countries, including France and the UK, are investigating potential privacy violations related to its iris-scanning technology, known as the Orb, which is used to create a secure, anonymous “World ID.”
The ongoing legal scrutiny highlights growing concerns about privacy and the ethical implications of buying or selling Worldcoin accounts in light of regulatory frameworks and financial regulations. Worldcoin has yet to comment on the investigation.
