Despite its suspension over biometric data and regulatory breaches, Worldcoin’s popularity in Indonesia is surging—driven by cash payouts and football sponsorship hype. The frenzy underscores a sharp conflict between unchecked tech ambition and the need for public protection.
Indonesia is facing a digital dilemma. Thousands are lining up to trade their iris scans for crypto tokens.
This surge is driven by Sam Altman’s Worldcoin — a high-stakes project that exchanges biometric data for digital currency.
The initiative is sparking deep concerns over privacy, ethics, and regulatory oversight.
Promoted as a way to build a universal digital identity and provide financial inclusion in an AI-dominated future, Worldcoin’s presence in the country has sparked widespread public interest, particularly among younger users and economically vulnerable groups.
Yet, this surge in popularity has been met with sharp government scrutiny, culminating in a suspension of operations in early May 2025.
Officials cite data privacy concerns, regulatory non-compliance, and risks of biometric misuse as key red flags in a country still developing robust frameworks for handling such advanced technologies.
At the core of Worldcoin’s appeal is its offer of a World ID—a unique digital identity that promises to distinguish humans from bots in a world increasingly shaped by artificial intelligence.
Users who undergo iris scans receive cryptocurrency tokens (WLD) in return, with reports suggesting financial incentives of up to IDR 800,000 (around USD 48).
For many Indonesians, especially those with limited access to traditional financial systems, this has presented a compelling if ethically fraught, opportunity.
However, experts and regulators warn that iris data is irreversible and cannot be changed if compromised. While Worldcoin claims to store only encrypted “iris hashes,” the centralized collection of such sensitive data by a private entity raises legitimate fears of misuse, leaks, or even state surveillance.
Adding to the controversy are reports that Worldcoin’s operations in Indonesia were being facilitated by local companies lacking the necessary permits or operating under misregistered licenses.
The Ministry of Communication and Digital (Komdigi) responded decisively, launching investigations and summoning these operators to account for apparent violations of Indonesia’s Electronic Systems regulations.
This regulatory clampdown mirrors actions taken by other countries—such as Kenya, Spain, and Hong Kong—where Worldcoin’s model has faced similar pushback.
Still, Worldcoin’s growing footprint in Indonesia cannot be ignored, particularly its unexpected foray into the country’s beloved sport: football. Several Indonesian football clubs are reportedly exploring sponsorship deals with the cryptocurrency project.
These potential partnerships reveal the multifaceted reasons for Worldcoin’s continued allure. For clubs operating on tight budgets, the promise of new revenue streams from crypto sponsors is enticing.
Sports sponsorship offers Worldcoin not only brand legitimacy but also direct access to millions of fans—many of whom are young, digitally engaged, and receptive to novel technologies.
In a country where football commands mass loyalty and emotional connection, aligning with clubs helps normalize Worldcoin’s presence, making it seem less like a high-risk tech experiment and more like a trendy lifestyle brand.
The concern, however, is that this popularity is unfolding in a context where public understanding of biometric data risks remains limited.
While many users may view the project as an easy way to earn money or access a futuristic financial tool, few are likely aware of the long-term implications of surrendering unchangeable biometric identifiers.
The coin-for-data model, while innovative, walks a tightrope between incentivization and exploitation—especially in developing markets where economic vulnerabilities can cloud informed consent.
The Indonesian government’s intervention underscores the need for clear regulatory frameworks that prioritize data security, transparency, and ethical tech deployment.
As interest in digital identity systems grows globally, Worldcoin may have identified a real market need—but its current approach has exposed serious gaps in governance, trust, and compliance.
For businesses and investors watching this space, Indonesia’s case offers a critical lesson: technological ambition must not outpace local legal norms and user rights.
