Singapore authorities are investigating seven individuals for allegedly offering services to buy or sell Worldcoin accounts and tokens, which could be considered an offense under the country’s regulations, according to a written reply from the government in parliament.
Worldcoin, a retina-scanning cryptocurrency startup, was founded by OpenAI creator Sam Altman. The issue was raised by Singaporean Members of Parliament Rachel Ong and Derrick Goh, who questioned whether the sale of Worldcoin in Singapore is regulated and whether there are associated risks.
Deputy Prime Minister Gan Kim Yong, also the Chairman of the Monetary Authority of Singapore, stated that while Worldcoin itself does not provide a payment service under current regulations. As such, individuals buying or selling Worldcoin accounts and tokens may be breaking the law by acting as unlicensed payment service providers.
On August 7, Singapore police warned the public against selling or giving away their Worldcoin accounts or tokens, citing concerns they could be used for criminal activities. Worldcoin has faced regulatory scrutiny in other countries, including Colombia, Hong Kong, Argentina, and Kenya.
A spokesperson for Tools for Humanity, which is associated with Worldcoin, clarified that “neither Worldcoin nor Tools for Humanity are under investigation by police in Singapore.” The individuals under investigation are not affiliated with Worldcoin or its operations.
The spokesperson further stated, “The Worldcoin Foundation in Singapore, and globally, operates in compliance with all relevant laws and regulations, including the Payment Services Act in Singapore. Any reports or speculation suggesting otherwise are false and misleading.”
Earlier in July, Worldcoin denied allegations that it allowed insiders to profit from movements of its token, citing its “zero tolerance” for such activities.
The announcement came after DeFi Squared alleged in an X post that the Sam Altman’s project engaged in price manipulation of its Worldcoin (WLD) token. The account suggested that someone from the team might have used insider information to buy the token before the project announced a delay to its native token unlock schedule.
In addition to DeFi Squared, pseudonymous crypto investigator ZachXBT also accused Worldcoin of allowing insiders to profit from what he described as a “scam token.” ZachXBT claimed that team members and venture capitalists were complicit in what he termed “the biggest scam token of the bull run.”
A Worldcoin spokesperson denied these allegations, stating that the project takes such claims seriously and would not permit such activities.
