Sam Altman's Worldcoin (WLD) Project Hits Another Wall as Indonesia's Data Watchdogs Allege Regulatory Violations

Sam Altman’s Worldcoin (WLD) project has hit yet another wall as Indonesia’s data watchdogs allege regulatory violations.

It’s one of several countries that have put World ID’s iris scanning activities on hold. Though this hasn’'t deterred the firm from rolling the tech out into six major U.S. cities.

Worldcoin Indonesia

Indonesia’s Ministry of Communications and Digital Affairs (Komdigi) has frozen Worldcoin (WLD) and the firm’s World ID face-scanning operations in the nation following public reports of “suspicious activity.”

This also includes alleging violations of electronic system regulations.

Per the May 4, 2025, statement from Komdigi, the firm that is Worldcoin’s Indonesian arm, PT. Terang Bulan Abadi, was not registered as an Electronic System Operator (PSE). Furthermore, it lacked the certification to conduct legal business.

Additionally, it was found that Worldcoin’s services held a registration certificate with another firm, PT. Sandina Abadi Nusantara.

Representatives of both firms will now be summoned to address these allegations.

Director General of Digital Space Oversight, Alexander Sabar, explained that these elements amount to a “serious violation” of domestic laws.

Sabar urges people to “take care” and “remain vigilant against unauthorized digital services” and asks them not to shy away from reporting such violations.

No Face, No Place

In the U.S., Worldcoin’s operations have expanded considerably, and its biometric iris scanning Orb technology is being rolled out to six major U.S. cities.

But, Worldcoin’s iris-scanning tech has been the point of contention ever since it rolled out the spherical identity-capturing hardware and began offering WLD tokens as payment for a scan.

It first met opposition in Kenya back in 2023 after over 300,000 Kenyans reportedly enrolled in the program. Citing privacy and data protection concerns, Worldcoin’s operations were swiftly suspended.

Spain banned Worldcoin in March 2024 after the nation’s data protection agency cited violations of the European Union’s General Data Protection Regulation. Later that year, authorities ordered the firm to delete all the data it had gathered.

In quick succession, Portugal, Germany, South Korea, Hong Kong, Brazil, and Colombia banned Worldcoin’s biometric data-gathering operations and launched investigations into the firm.