Kenya Cracks Down on Worldcoin Due to National Security and Tax Evasion Concerns
Date: 2023-08-30 Author: Karina Ziganova Categories: IN WORLD
Kenya's Computer Cybercrime Strategic Committee (NC4) has warned that Worldcoin's activity creates problems for the economy and national security of the African country. This is reported by the local media outlet Standard Media, citing sources within the organization.
Possible threats from Worldcoin
Sèvres Colonel James Kimuyu, de jure director of NC4, spoke before a parliamentary committee about the risks of Sam Altman's project.
Kimu raised concerns about the collection of Worldcoin biometric data, expressing its potential impact on national security. In addition, in his opinion, the use of blockchain technology and cryptocurrencies in the project can create competition for money transfer systems due to fast, cost-effective transaction processing.
The director expressed concern about the possible non-payment of taxes related to Worldcoin transactions, citing the problem of tracking and taxing them due to the decentralized nature. He also discussed how these transactions could affect the central bank's control over monetary policy in the country.
An organization that is illegal
The Star reports that Kenya Attorney General Justin Muturi said Worldcoin and its sister organization Tools for Humanity are operating illegally in the country.
This is combined with a separate local media report that showed that Worldcoin started operations in Kenya under the guise of a research project.
Muturi assured that the mentioned projects did not have proper permission to work in the country and only Sales Marketing, another subsidiary, was absolutely registered.
Kevin Odumbe reportedly registered a sales marketing department in 2013. His office is located at LR 209/37 Langata / Kitengela Road.
In July, the Kenyan government suspended Worldcoin's operations within its jurisdiction, citing concerns about how the extracted biometric data of Kenyans would be used.
The authorities conducted a search of the Worldcoin warehouse, during which various documents and cars were seized. Some believe that they were the data warehouse of the company.
On August 27, the High Court of Kenya ordered Worldcoin and its partners to stop processing biometric data until the case against the organization is properly resolved or the pending case is resolved in favor of the corporation itself.
