Queues have formed at the GR.iD shopping mall in Singapore, with eager participants lining up for an unusual sight—a silver orb that scans their eyes to allocate cryptocurrency. This scene is part of Worldcoin’s ambitious initiative, co-founded by OpenAI’s Sam Altman, to establish a global network for privacy-preserving human identity and financial transactions.
Worldcoin’s mission involves creating a worldwide identification system through biometric data, aiming to provide each user with a unique World ID. These IDs can then be utilized to confirm human identity across various online platforms, such as Discord and Shopify. Since launching in Singapore last December, Worldcoin has set up orbs at multiple locations, including GR.iD and the OGBC Innovation Hub in Raffles Place, making it more accessible for residents and migrant workers.
During visits to the GR.iD mall, The Straits Times observed predominantly migrant workers participating in the verification process. These workers, guided by agents, undergo the biometric scanning and, in return, receive Worldcoin tokens. The compensation for these tokens, however, varies significantly. While some migrants report receiving less than $100 worth of tokens, others, like an anonymous reporter who signed up in May, received tokens valued at approximately $150.
The process is not without its complexities. The agents involved in the verification process are not directly affiliated with Worldcoin and often decline to comment on their operations. Migrant workers are compensated in cash, with the average payout around $45. Despite the low wages, the workers are not coerced into participating; many do so out of economic necessity.
The process involves only a single verification per person, with the amount of cryptocurrency offered differing from one individual to another. As Worldcoin’s network expands, users from different backgrounds, including office workers and freelancers, are also getting involved. Ivy Liu, a 43-year-old office clerk, was drawn to Worldcoin through social media and sees it as a potential tool for online transactions.
Worldcoin operators in Singapore, such as Noel Tan, who got interested after attending the Token2049 cryptocurrency event, are also playing a crucial role. Tan currently manages two Worldcoin Orb locations with plans for a third. Operators are compensated for each verification, initially in USD Coin and later in Worldcoin tokens since November 2023. The specifics of how Singapore-based operators are remunerated remain unclear.
The Worldcoin project, developed by Tools for Humanity based in San Francisco and Berlin, launched in July 2023. It aims to solve the problem of distinguishing humans from bots and AI, a challenge that has gained traction globally. Backed by venture capital firm Andreessen Horowitz, Worldcoin has amassed nearly six million verified accounts worldwide.
Tools for Humanity has a local subsidiary in Singapore, Everyone in Singapore, established in June 2024. This entity, with a nominal capital of $1 and directed by German national Dominique Leonard Simon, is part of the broader Worldcoin effort. Simon also oversees Blockchain.com (Singapore), a licensed digital token payment provider regulated by the Monetary Authority of Singapore (MAS).
MAS, while not regulating the issuance of digital payment tokens under the Payment Services Act, has engaged with Worldcoin to better understand its operations in Singapore. Similarly, the Personal Data Protection Commission (PDPC) has advised consumers to be aware of how their biometric data will be used before consenting to its collection. PDPC expects all organizations, including Worldcoin, to comply with the Personal Data Protection Act, emphasizing the need for secure data handling practices.
Worldcoin has faced regulatory scrutiny in several countries, including India, Kenya, Spain, and Portugal, with some authorities clamping down due to privacy concerns. In Hong Kong, authorities raided six Worldcoin Orb operators and ordered the cessation of operations, citing privacy risks.
Damien Kieran, Chief Privacy Officer at Tools for Humanity, addressed these concerns by explaining that biometric data is promptly deleted from Worldcoin Orbs post-verification. The scans are converted into binary code that is not traceable to individual users, using zero-knowledge proofs to ensure data privacy. However, users have the option to allow their data to be used for improving the system’s accuracy, though this does not come with additional incentives.
The technology behind Worldcoin is designed to protect user privacy while enhancing system security, but it has not been without controversy. Dr. Sanka Rasnayaka, a lecturer at the National University of Singapore, warns of the potential misuse of biometric data. Biometric information, which includes sensitive details such as age, race, and medical conditions, cannot be changed if compromised, posing long-term risks.
As Worldcoin continues its expansion, the company faces the dual challenge of balancing innovation with stringent privacy safeguards. With ongoing discussions with EU authorities and efforts to clarify its data practices, Worldcoin aims to address concerns and establish a robust framework for its global identity and financial network.
