Altcoins News

Story: Worldcoin Drops 10% After Kenyan Court Privacy Ruling

By Julie Binoche

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Worldcoin (WLD), the digital identity and cryptocurrency project backed by OpenAI CEO Sam Altman, suffered a significant legal and financial blow this week.

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The court’s decision comes after nearly two years of legal proceedings initiated by the Katiba Institute, a local constitutional advocacy group.

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The ruling prohibits the Worldcoin Foundation and its partners from further processing, collecting, or dealing in biometric data in the country.

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According to court documents, Worldcoin had failed to obtain legitimate consent and had bypassed the required Data Protection Impact Assessment (DPIA) prior to conducting its…

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The Katiba Institute successfully argued that this monetary incentive constituted an inducement, thus undermining the voluntariness and validity of user consent.

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The ruling has been welcomed by digital rights groups and legal observers as a landmark victory in the battle for personal data sovereignty.

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The court’s decision is likely to have broader implications beyond Kenya. In recent months, other nations including Indonesia have halted Worldcoin’s activities over similar…

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Kenyan political figures have also criticized the project. National Assembly Majority Leader Kimani Ichung’wah questioned why a program restricted in its founder’s home country…

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Despite this mounting opposition, Worldcoin continues to expand its footprint elsewhere. In the United States, the project has introduced operations in six major cities including…

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Still, the immediate impact on investor sentiment has been severe. Following news of the court ruling, Worldcoin’s native token, WLD, plummeted by nearly 10% within 24 hours.

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For a platform built on the promise of a decentralized and user-controlled identity system, this ruling poses not only legal hurdles but also reputational challenges.

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Whether the Kenya decision becomes a blueprint for further legal actions around the world remains to be seen.

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