Worldcoin Faces Legal Challenges in Kenya and Indonesia, WLD Token Drops 9%

Worldcoin, a project led by Sam Altman, is facing major legal challenges in several countries.

Jakarta, Pintu News – Worldcoin, a project founded by Sam Altman and focused on creating a digital identity platform, is facing major legal challenges in several countries.

Recently, a high court in Kenya ordered the deletion of all biometric data collected by Worldcoin, while the Indonesian government has suspended their activities. These incidents add pressure to a project that was previously considered promising.

The case in Kenya began with the Katiba Institute filing a lawsuit against Worldcoin, accusing the company of violating data protection laws. Worldcoin allegedly collected sensitive information from individuals in Kenya, luring them with the promise of $50 in WLD tokens in exchange for an iris scan.

The court ruled that this offer of payment could be viewed as a form of inducement, ultimately affecting the legitimacy of the user’s consent to having their biometric data collected.

In response to the ruling, Worldcoin is tasked with deleting all collected data from its systems. This decision may have a significant impact on the project’s future in the country.

Furthermore, in Indonesia, Worldcoin’s digital identity platform, World ID, has been suspended by the local government due to similar concerns regarding data breaches.

The Ministry of Communications and Informatics stated that one of the entities under Worldcoin was not properly registered, triggering the suspension of certification and summons for further examination.

Worldcoin has stated that it will temporarily suspend its human uniqueness verification services in Indonesia and seek clarification regarding relevant licenses.

Both of these legal events have negatively impacted the Worldcoin (WLD) exchange rate, which fell nearly 10% in the last 24 hours on May 6, 2025.

As Worldcoin seeks to expand its operations in the United States, the legal challenges faced in Kenya and Indonesia may hinder further expansion.

Investors and users are now more wary of the risks associated with data privacy and security in these projects. Going forward, Worldcoin will need to navigate these regulatory pressures carefully to restore market confidence and stability.