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Indonesia suspends Worldcoin after uncovering regulatory violations tied to its operations in the country.
The Ministry of Communications and Digital Affairs (Komdigi) announced this temporary suspension following a preliminary investigation. Authorities cited serious breaches of Indonesia’s electronic systems regulations and potential threats to user data.
The suspension affects both the Worldcoin project and its associated WorldID service. At the center of the controversy is PT Terang Bulan Abadi, the company believed to be running Worldcoin in Indonesia. This firm failed to register properly as an Electronic System Organizer, missing the required TDPSE certification. Even more alarming, they allegedly operated under the license of a different company, PT. Sandina Abadi Nusantara.
Komdigi received public complaints that led to the investigation. Digital Space Supervision Director General Alexander Sabar confirmed that the government is taking preventive steps. He stated, “We will summon PT Terang Bulan Abadi to clarify the situation and prevent further risks to users.”
Legal oversight tightens in Indonesia’s crypto scene
The suspension highlights how Indonesian regulators are stepping up their enforcement efforts in the digital space. Under Government Regulation No. 71 of 2019 and Ministerial Regulation No. 10 of 2021, all digital platforms must be officially registered and meet specific data protection standards.
Indonesia’s Personal Data Protection Law, passed in 2022, sets high expectations for platforms collecting sensitive data. Worldcoin’s use of biometric scans through its Orb device raises red flags for local authorities. The project’s iris-scanning technology and token rewards have already sparked global concerns over privacy and surveillance.
Indonesia suspends Worldcoin to protect digital space integrity
The Worldcoin project, founded by OpenAI’s Sam Altman, promotes a decentralized identity system called WorldID. It aims to provide secure, verifiable identity checks using biometric data. However, its expansion into Indonesia shows the importance of local compliance in global projects.
By suspending Worldcoin’s operations, Indonesia sends a clear message to blockchain startups: follow the rules or risk being shut down. In emerging markets, regulatory transparency and ethical data practices are key to sustainable innovation.
Indonesia suspends Worldcoin to protect its citizens from poorly regulated digital systems. Projects dealing with identity and personal data must not only offer cutting-edge technology but also adhere to local laws. This case underlines how countries with developing digital ecosystems can lead the way in enforcing responsible innovation.
If Worldcoin wants to regain access to the Indonesian market, it must secure proper certifications and improve public trust. Other blockchain companies should take note—biometric systems demand accountability, especially where privacy is concerned.
