On 06/05/2025, the High Court of Nairobi, Kenya, ruled that Sam Altman's Worldcoin project must delete all biometric data collected in Kenya within 7 days under government supervision, increasing global pressure on the company. Is this the end of Worldcoin's ambitions? Let's analyze in detail.
Ruling in Kenya: Violation of Privacy Rights
The court ruled that #Worldcoin (formerly called Worldcoin), and their agents collected biometric data (iris scans) without valid consent from the Office of the Data Protection Commission (ODPC), using cryptocurrency (token $WLD ) as a 'club' to lure users, violating the principle of voluntary consent. Joshua Malidzo Nyawa, a lawyer from the Katiba Institute – the suing organization, called this a 'victory for privacy in Kenya.' He emphasized: 'Privacy is a constitutional right, violations can occur if procedures like data security impact assessments are not followed. Consent after being lured with money or crypto is illegal.' Worldcoin has not immediately responded to requests for comment.
Worldcoin and the Mission of 'Digital Identity'
The project founded by #SamAltman (CEO of OpenAI) and Alex Blania uses iris-scanning devices to verify identity, issue World IDs, and exchange WLD tokens for users, primarily through direct registration. The company promotes World ID as a 'privacy-first solution' with locally stored data and encrypted protection, but still faces skepticism from regulatory authorities. The ruling requires the World Foundation and agents to delete biometric data within 7 days, prohibiting further collection without a security assessment and consent that is not induced.
Global Pressure: From Kenya to Indonesia
This is not the first time Worldcoin has encountered trouble in #Kenya . In 2024, the company was labeled a 'criminal gang' and banned, but the ban was lifted after a police investigation in June 2024. The new ruling is a severe blow to efforts to regain trust. Meanwhile, on Sunday, Indonesia suspended Worldcoin for not registering and potentially violating local laws. Enforcement actions are also occurring in Hong Kong, Germany, and Brazil due to data security concerns, indicating increasing global pressure.
Growth in the US Amid Challenges
Despite being restricted in many places, Worldcoin is expanding in the US, launching in six cities (Atlanta, Austin, Los Angeles, Miami, Nashville, San Francisco), where residents can receive WLD upon registration. However, WLD price dropped 6.8% in the day, down to $0.86 (according to CoinGecko), reflecting negative sentiment from the bans.
Impact on the Crypto Market
This event brings many signals:
Short-term volatility: WLD price dropped 6.8% indicating an immediate impact, but could recover if Worldcoin adjusts its strategy.
Increased legal pressure: Bans from Kenya, Indonesia, and other countries highlight the need for regulatory compliance, affecting crypto projects like Tether AI (integrating Bitcoin-USDT).
Long-term support: If overcome, Worldcoin could strengthen trust, promoting the acceptance of digital identity, similar to Bitcoin ETF (attracting $1.8 billion last week).
Future Prospects
Despite facing difficulties, Worldcoin still has opportunities in the US – a more friendly market under Trump. With crypto fund inflows reaching $3.4 billion last week and the potential for decentralized identification, the project could recover in 2-3 years if legal issues are resolved.
Conclusion: Will Worldcoin Overcome Challenges?
The Kenyan court ordered Worldcoin to delete biometric data due to privacy violations, increasing global pressure alongside the ban from Indonesia. Although expanding in the US, the WLD price decline of 6.8% reflects challenges. However, if it adjusts its strategy, Worldcoin could regain momentum, contributing to digital identity and the crypto market in the future. Investors should closely monitor to assess risks and opportunities.
Risk Warning: Crypto investment carries high risks due to price volatility and legal uncertainties. Consider carefully before participating.