Indonesia suspends Worldcoin over data privacy and regulatory violations
Indonesia suspended Worldcoin’s operations after uncovering regulatory violations and data privacy concerns related to its digital identity and biometric data collection activities. What happened Indonesia’s Ministry of Communication and Digital suspended Worldcoin’s operating permit following public complaints and reports of suspicious activity involving Worldcoin and its World ID identity verification service. Authorities found that Worldcoin’s local representative, PT Terang Bulan Abadi, was operating without the required electronic system provider (PSE) license and was instead using a registration certificate belonging to another company, PT Sandina Abadi Nusantara. The police are also investigating whether Worldcoin’s data collection practices violated Indonesian law, especially since users were required to submit sensitive biometric information to access services. Why it happened The suspension was triggered by multiple regulatory violations: Operating without the necessary electronic system provider license (TDPSE). Using the registration credentials of another legal entity to provide digital services. Collecting sensitive biometric data (face and iris scans) from Indonesian users without clear legal compliance or adequate safeguards. These actions were discovered during a regulatory review prompted by public complaints and suspicions about Worldcoin’s activities. Indonesian authorities emphasised that non-compliance with registration obligations and the misuse of another entity’s identity for digital operations are serious violations under local law. What it means The incident highlights the necessity of compliance with local regulations, transparent data practices, and robust user protections when operating in foreign markets. The case also signals to other countries and digital service providers the importance of adhering to data privacy and licensing requirements, especially as governments worldwide intensify scrutiny of biometric and AI-driven identity systems. System 🤖 World ID Developer: Tools for Humanity Country: Indonesia Sector: Banking/financial services Purpose: Verify identity Technology: Iris biometrics Issue: Accountability; Privacy; Security; Transpa rency
- Date it happened
- 2025-05-01
- Organisation involved
- Tools for Humanity
- Product, system or model
- World ID
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