The suspension of Worldcoin registrations in Kenya has raised concerns about data protection in the country. The Kenyan government, led by the Ministry of Interior and national administration, announced on Wednesday that it was putting a halt to all ongoing Worldcoin registrations.
The Worldcoin project has been collecting personal information through its eyeball-scanning gadgets at various locations in major cities across Kenya. Thousands of unemployed youths have been queuing for hours to participate in the WLD airdrop, which can be easily converted into cash through platforms like the Binance crypto exchange and Uniswap DEX.
Kenya has become an attractive market for Web3 projects looking to enter the African market. It is estimated that more than 4 million Kenyans have already engaged with digital assets as a way to combat the high cost of living.
In a statement on Wednesday, Kenyan interior cabinet secretary Kithure Kindiki expressed the government’s concern about the mass registration of individuals through eyeball scanners on the iris conducted by Worldcoin. The government is particularly worried about the potential risks of data exploitation from the personal information that has been collected. Kindiki called on the Worldcoin project to provide clear reassurance regarding the safety of the public data that has been gathered.
As a result of these concerns, the Kenyan government has suspended the activities of Worldcoin and any other similar projects that collect personal information until relevant agencies can certify that there is no risk to the general public. The authorities have warned that appropriate action will be taken against individuals or entities involved in such activities.
Kenya is yet to establish clear regulations for cryptocurrencies, but the 2023/2024 financial act aims to impose taxes on digital content creators and include other online activities within the tax framework.
Despite the suspension of the Worldcoin project in Kenya, it has had no immediate negative impact on the price of the WLD coin. According to the latest crypto price oracles, the WLD coin was trading at around $2.4 on Wednesday, marking an increase of approximately 3.4 percent in the past 24 hours. The Worldcoin project currently boasts a market capitalization of about $279 million and a fully diluted valuation of around $24 billion.
The decision to suspend the Worldcoin project has caused disappointment among Kenyan youths who were eagerly lining up at shopping malls and other public places in the hopes of receiving the WLD airdrop.
In conclusion, the Kenyan government’s move to suspend Worldcoin registrations reflects growing concerns around data protection and exploitation. While it remains to be seen how the Worldcoin project will address these issues, the impact of the suspension on the cryptocurrency’s price has been relatively minimal. As Kenya continues to navigate the regulatory landscape for cryptocurrencies, the government aims to strike a balance between promoting innovation and ensuring the safety and security of its citizens’ personal information.
