Worldcoin, now rebranded as World, is facing regulatory trouble in Indonesia due to compliance gaps tied to its digital identity platform, World ID. Indonesia’s Ministry of Communication and Digital has temporarily suspended the operations of Worldcoin and World ID, citing irregularities in registration and potential violations of local electronic system regulations.
In an official statement issued on May 4, the ministry announced the suspension of the Electronic System Organizer Registration Certificate (TDPSE) for both entities. Authorities discovered inconsistencies in the project’s legal standing, particularly involving a local affiliate, PT Terang Bulan Abadi, which failed to register as an authorized Electronic System Organizer — a mandatory requirement for digital platforms operating in the country.
Instead of proper registration, the project reportedly conducted its operations using the license of another company, PT Sandina Abadi Nusantara. This raised serious concerns over data protection, identity misuse, and compliance transparency.
Alexander Sabar, Director General of Digital Space Supervision, emphasized that the suspension is a preventive measure to safeguard the public from potential risks posed by unregistered digital services. He added that the ministry will summon both involved entities for further investigation and warned that all digital platforms must act responsibly and comply fully with national regulations.
This regulatory action adds to Worldcoin’s growing list of international compliance challenges. The company has previously come under scrutiny in countries like Kenya, Germany, and Hong Kong due to concerns over its data collection and privacy practices.
Despite these hurdles, Worldcoin continues to expand. In the United States, its identity verification system is now operational in six cities, including Los Angeles, Miami, and San Francisco. The platform has also formed partnerships with major companies such as Visa, Tinder, Kalshi, and Morpho to develop new use cases and drive global adoption.