WorldCoin is legal, parent company is indeed registered as a data processor in Kenya. ‘They’re Getting Data Voluntarily From Kenyans’. Worldcoin, a blockchain company founded by OpenAI chief Sam Altman, is offering Kenyans free tokens in exchange for their iris scans. The tokens are currently worth about $54 or KES 7,000, which is significant for many Kenyans. The Worldcoin project has been met with some privacy concerns, as the iris scans could be used to create a universal ID system.
However, Worldcoin says data from the iris scans will be hidden with encryption technology and the biometric information deleted. But privacy experts and even Vitalik Buterin, founder of Ethereum, have raised doubts mainly about how trusted the orbs are. TechCrunch previously reported hacks of Worldcoin orb operators.
The Cabinet Secretary for ICT and Digital Economy, Eliud Owlao says Worldcoin, the new cryptocurrency project by American Artificial Intelligence (AI) company OpenAI, is operating legally in Kenya.
TechCabal has established that WorldCoin is registered as a data processor by the office of the data protection commissioner (ODPC) under its parent company’s name, Tools for Humanity GmbH. However, the company is based in Berlin. This means it has permission from Kenyan authorities to collect private data from locals.
Owalo disclosed that the Kenya Kwanza administration is aware of OpenAI’s operations in the country and that they sought clearance in April before the Worldcoin registration process began.
The ICT CS stated that despite the concerns over data security issues due to the scanning of people’s irises, Worldcoin is not breaching the Data Protection Act.
Under the Data Protection Act 2021, anyone who acts as a data controller or processor must register with the data commissioner. The law directs data controllers and processors to handle data lawfully, be mindful of limiting data collection, restrict further data processing, and ensure data quality. They must establish and maintain robust security measures to safeguard personal data.
The Worldcoin project has been popular in Kenya, with long queues forming at shopping malls where the iris scans are being taken. Some crypto firms in Kenya, including Nuzo, are also taking advantage of the popularity of Worldcoin, offering to help people convert their tokens to cash. In the past week, the World App, a cryptocurrency wallet for WorldCoin, has seen a surge and claimed the top spot on the download charts of the play store in Kenya.
By Abigael Chemok