The operating license of Worldcoin, founded by OpenAI CEO Sam Altman, has been suspended in this country! Here are the details.

The Indonesian Ministry of Communication and Digital has suspended the operating license of the identity authentication crypto project Worldcoin, of which OpenAI CEO Sam Altman is one of the founders, due to suspicions of violating the country's electronic system regulations.

Indonesia Suspends Sam Altman's Worldcoin Project Due to Regulatory Violations

The ministry stated in a published announcement that the decision to suspend was made based on public complaints and reports of suspicious activities related to Worldcoin and the identity platform World ID.

The project formerly known as Worldcoin (WLD) is currently under review because it operated in the country without a valid license.

Authorities stated that PT. Terang Bulan Abadi, one of the local organizations carrying out the project in Indonesia, is not registered as a licensed electronic system operator and that the services are being conducted with the permission of another legal entity that operates a non-compliant application with national regulations.

The Director General of Digital Audit of the Ministry, Alexander Sabar, said, "This suspension is a preventive measure taken to reduce potential risks to the public."

Sabar emphasized that using another organization's legal identity information to operate a digital service is a serious regulatory violation. The government has summoned PT. Terang Bulan Abadi and its partner PT. Sandina Abadi Nusantara for further investigation and clarification.

The controversy in Indonesia is the latest in a series of regulatory challenges for World, raising global concerns about user privacy and data protection regarding the iris-scanning identity platform.

The company claims that the World ID system allows individuals to prove their identity online while protecting their privacy, but critics express concerns about the collection and storage of biometric data.

This development came just a few days after the company announced its expansion plans to the US, where users in six cities—Atlanta, Austin, Los Angeles, Miami, Nashville, and San Francisco—can receive WLD tokens in return for verifying their kimlik.

The launch of World in many countries has particularly attracted the attention of regulatory authorities regarding the processing of biometric data. In 2023, Kenya also halted the project's activities due to similar concerns.

As the world continues its global growth, the suspension decision in Indonesia serves as a reminder that compliance with local digital and data laws remains a critical challenge for the expansion of the project.