Over the weekend, law enforcement conducted a raid on a Nairobi-based warehouse belonging to the cryptocurrency company WorldCoin, confiscating documents and materials. Armed with a search warrant, police officers visited the company’s offices along Mombasa Road and seized machines believed to contain the firm’s collected data. The obtained data was subsequently transported to the Directorate of Criminal Investigations headquarters for further analysis.
Data Commissioner Immaculate Kassait defended her office’s actions, explaining that Tools for Humanity, the parent company of WorldCoin, had failed to disclose its true intentions during the registration process. Consequently, the Kenyan government suspended WorldCoin’s operations in the country, citing security concerns. This move paves the way for an investigation into the company’s activities.
However, concerns have arisen among privacy experts who worry about the potential mishandling of sensitive data obtained from iris scanning. The Kenyan Capital Markets Authority (CMA) expressed unease about WorldCoin’s ongoing registration, notifying the public that the company was not subject to regulation in Kenya.
The project founded by OpenAI CEO Sam Altman launched last month. It requires users to give their iris scans in exchange for a digital ID, and in some countries, users also get free cryptocurrency as part of plans to create a new “identity and financial network”. Altman says he envisions the initiative as a means to distinguish between humans and robots and possibly pave the way for a universal basic income, although the mechanisms for this remain unclear.
WorldCoin selected Kenya as its first African launch due to the burgeoning tech landscape and the significant number of Kenyans already participating in crypto trading. The company has also expanded its presence to various countries, including Indonesia, France, Japan, Germany, Spain, and the UK. Several data oversight bodies across different countries have already expressed interest in investigating WorldCoin.
In response to these developments, Interior Cabinet Secretary Kithure Kindiki suspended WorldCoin’s activities in Kenya, allowing for an investigation into the legality of its operations. During a parliamentary appearance, Kindiki emphasized the government’s precautionary measures concerning the data already collected, noting that the entity in question was not officially registered as a legal entity in Kenya.
