Singapore Police Investigate Worldcoin Account and Token Sales, Make Arrests

The Singapore police are investigating seven individuals trading Worldcoin accounts and tokens, noting that this may violate the Payments Services Act of 2019.

Singapore police are investigating seven individuals for trading Worldcoin accounts and tokens, which could potentially violate the Payments Services Act (PSA) of 2019, Deputy Prime Minister Gan Kim Yong said on Monday.

Yong was responding to questions from parliament members Rachel Ong and Derrick Goa on the matter. According to the deputy prime minister, the Monetary Authority of Singapore (MAS) has stated that based on the information provided to it, Worldcoin does not qualify as a payment service under the PSA.

However, Yong noted that anyone offering third-party sales of its accounts and tokens could be regarded as providing payment services.

“The Payment Services Act 2019 (PS Act) prohibits persons who are unlicensed or not exempted from providing a payment service under the PS Act. Based on information provided to MAS, Worldcoin does not perform a payment service under the PS Act. However, persons who buy or sell Worldcoin accounts and tokens as a business may be providing a payment service,” he said.

Yong added that law enforcement authorities have started cracking down on this practice, highlighting that the police had earlier warned the public in August about how Worldcoin accounts could be used for illegal and criminal activities such as terrorism financing and money laundering.

Five arrests were made by the Singapore police in connection to the sale of Worldcoin accounts by third parties, with over 200 mobile phones seized in the process. Investigations by the police revealed that three men recruited others to create Worldcoin accounts on behalf of other entities and then took over the accounts and tokens in exchange for cash. Two other people were involved in buying and receiving the Worldcoin accounts and tokens.

The authorities did not disclose the reason for the particular activity, but it has raised concerns about how such personal information could be used later.

“Members of the Parliament also expressed concerns on the broader risks of Worldcoin’s operations in Singapore and whether there can be measures to prevent connected criminal activities,” the report added.

The deputy prime minister noted that members of the public are advised to treat their Worldcoin accounts like their bank accounts and not give them away or sell them, as this may lead to their misuse.

“The offence attracts a fine of up to $125,000 or an imprisonment term of up to 3 years or both,” the police added in a statement.

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