Worldcoin founder issues statement after Kenya suspends its operations

Worldcoin co-founder Alex Bania has issued a statement after the Kenyan government suspended Worldcoin operations citing regulatory concerns.

Kenya became the first country in the world to suspend Worldcoin operations.

Taking to his official X account on Thursday, August 3, 2023, Bania stated that the tech firm was looking forward to working with regulators to address any concerns and questions in order to clarify and ease the fears.

He also apologized to Kenyans for the suspension and assured customers that they would be resuming operations.

“Tools for Humanity (TFH) has paused World ID verifications in Kenya as we continue to work with local regulators to address their questions. We apologize to everyone in Kenya for the delay. World ID is built for privacy. We look forward to resuming operations, while continuing global rollout,” he wrote.

TFH has paused World ID verifications in Kenya as we continue to work with local regulators to address their questions. We apologize to everyone in Kenya for the delay.

World ID is built for privacy. We look forward to resuming operations, while continuing global rollout.

— Alex Blania (@alexblania) August 2, 2023

The firm also stated that its team will establish an onboarding program to enhance crowd control measures and increase privacy measures during the suspension. They further reiterated their commitment to providing inclusive, and privacy-preserving services when they resume services

“During the pause, the team will develop an onboarding program that encompasses more robust crowd control measures and work with local authorities to increase understanding of the privacy measures and commitments Worldcoin implements not only in Kenya but everywhere. Worldcoin remains committed to
providing an inclusive, privacy-preserving, decentralized on-ramp to the global digital economy and looks forward to resuming its services in Kenya while working closely with local regulators and other stakeholders.

“The Worldcoin Foundation firmly believes in the power of decentralization to drive economic growth and financial inclusion. As part of our efforts to democratize access to cryptocurrencies, Kenyans can now reserve their Genesis tokens on the Worldcoin App to be claimed at a future point in time when verifications have resumed,” the statement added.

Kenya suspends Worldcoin

Interior Cabinet Secretary (CS) Kithure Kindiki on Wednesday, August 2, 2023, suspended operations of the tech firm founded by US tech entrepreneur Sam Altman.

The CS notified Kenyans that the operations will remain suspended until a thorough investigation is conducted to determine the legality of the firm’s activity.

“Relevant security, financial services and data protection agencies have commenced inquiries and investigations to establish the authenticity and legality of the aforesaid activities, the safety and protection of the data being harvested, and how the harvesters intend to use the data,” he said.

“Further, it will be critical that assurances of public safety and the integrity of the financial transactions involving such a large number of citizens be satisfactorily provided upfront,” he added.

In the same breath, the Communications Authority of Kenya (CA) and the Office of the Data Protection Commissioner (ODPC) raised concerns about Worldcoin.

Through a joint statement shared on Wednesday, August 3, 2023, CA Director-General Ezara Chiloba and Data Commissioner Immaculate Kassait underscored that they noted legitimate regulatory concerns that needed urgent attention.

Some of the issues they raised were; storage of sensitive data collected (facial recognition and iris scans), inadequate information on cybersecurity safeguards, and obtaining consumer’s consent (data subject) in exchange for money among others.

“These issues require a comprehensive inquiry to enable regulators to advise stakeholders on appropriate measures to protect public interest. Controversies around WorldCoin are not new. Similar concerns have been raised in other jurisdictions such as Germany, France, the United Kingdom, and India,” the duo stated..

“Consequently, and as directed by the Government, the WorldCoin must cease its data collection activities in Kenya until further notice. The public is advised to take caution when providing personal data to private actors. In the meantime, anyone with relevant information or a complaint on WorldCoin should report it,” they added.