Investigation into Illegal Worldcoin Transactions in Singapore
On September 9, Singapore’s Deputy Prime Minister, Gan Kim Yong, announced that investigators are probing seven individuals suspected of illegally trading Worldcoin accounts and tokens.
As the chair of the Monetary Authority of Singapore (MAS), Yong stated:
“The Police are investigating seven subjects for their suspected involvement in the buying and selling of Worldcoin accounts and tokens, which constitute offenses under the Payment Services Act 2019.”
Regulatory Status of Worldcoin
Yong pointed out that the MAS does not recognize Worldcoin as a legitimate payment service under the Payment Services Act. Trading Worldcoin accounts and tokens as a business might involve payment services, which could be considered illegal activities.
The Deputy Prime Minister raised concerns regarding potential illicit uses of such transactions, including:
- Money laundering
- Terrorism financing
Consumer Warnings
In light of these investigations, Yong cautioned consumers:
“Consumers should beware of inducements to transfer access of their digital payment token wallet or World ID, as these accounts could be misused by third parties. We caution consumers against doing so.”
Global Legal Issues Surrounding Worldcoin
This inquiry into Worldcoin by Singaporean authorities follows a series of legal challenges the company is facing worldwide.
In the past year, regulators in countries such as Kenya, South Korea, and Germany have launched investigations into Worldcoin’s utilization of iris biometric data, citing potential violations of local data protection regulations.
Despite these challenges, Worldcoin claims to be in compliance with both local and international laws. The company has also made significant elements of its technology open source to foster transparency and enhance user data protection.
Future Aspirations and Market Performance
Worldcoin co-founder Alex Blania has expressed ambitions to expand the platform’s reach, aiming for a user base akin to that of Facebook. As of now, Worldcoin boasts over 6 million registered users across more than 160 countries.
In market performance, Worldcoin’s WLD token has seen an increase of over 4% in the last 24 hours, trading at approximately $1.47, according to data from CryptoSlate.
The information on the investigation into illegal Worldcoin account trading in Singapore is reflective of broader concerns regarding cryptocurrencies and their regulation.
