Thailand Closes Worldcoin Due to Unlawful Exchange of Biometric Data for Cryptocurrency

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Thailand Closes Worldcoin Due to Unlawful Exchange of Biometric Data for Cryptocurrency

Bitget-RWA2025/11/26 23:22

By:Bitget-RWA

- Thailand ordered Worldcoin to halt operations and delete biometric data from 1.2 million users, citing PDPA violations involving iris scans for crypto tokens. - Authorities raided a Bangkok scanning center in October 2025, arresting employees for operating an unlicensed exchange and highlighting data leakage risks. - Worldcoin paused services in Thailand, denying wrongdoing, while the WLD token dropped to $0.6172 amid global regulatory crackdowns in Colombia, Spain, Brazil, and Kenya. - Regulators worldw

Thailand has instructed the Sam Altman-supported digital identity service

Worldcoin

to cease its activities and erase biometric information gathered from 1.2 million individuals, presenting yet another regulatory obstacle for the firm. The Ministry of Digital Economy and Society

referenced breaches of the PDPA

, which forbids trading sensitive biometric data—such as

iris

scans—for cryptocurrency rewards. Officials pointed out that exchanging Worldcoin’s native token (WLD) for iris scans

violated legal requirements

regarding data collection and user consent.

The announcement, made by the National Economic and Social Development Board (NESDB), came after authorities raided a Worldcoin-affiliated iris scanning facility in Bangkok in October 2025. During this action, the Securities and Exchange Commission (SEC) and Cyber Crime Investigation Bureau detained staff for allegedly running an unauthorized digital asset exchange. The PDPC

additionally observed

that the company’s approach posed threats of data breaches and unlawful use of personal details.

In response, Worldcoin Thailand, operated by TIDC Worldverse, suspended its local verification operations and removed Thailand from its list of supported regions. The company asserted it had "adhered to local laws," denied any misconduct, and claimed its technology aids in preventing identity theft and AI-related scams.

The company further noted

that users were not consulted prior to the directive to erase data, with an insider suggesting that those affected might forfeit around one billion baht in monthly token rewards.

This regulatory intervention has intensified financial strain on Worldcoin. The

WLD

token

dropped to a session low of $0.6172

after the news, mirroring broader market anxieties. Over the last year, the token has depreciated by nearly 70%,

worsened by a recent release

of 37 million tokens valued at $23 million. Experts indicate that the increasing supply and ongoing regulatory ambiguity could extend the downward trend, with critical support at $0.573 being closely watched.

Thailand’s actions are part of a wider international clampdown on Worldcoin’s activities. Colombia, Spain, Brazil, and Kenya have

enacted comparable prohibitions

, citing concerns over data protection and insufficient transparency. In November 2025, Colombia’s competition authority

ordered a permanent shutdown

of Worldcoin’s operations and the destruction of biometric records. European regulators have also voiced worries, stating that even anonymized iris information is considered personal data under GDPR.

As Thailand’s Digital Economy Minister Chaichanok Chidchob

emphasized

, "all activities must adhere to personal data protection regulations," highlighting a broader commitment to balancing innovation with privacy. Worldcoin’s prospects in Asia and globally will depend on how it manages these legal challenges while retaining user confidence.

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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