Editorials
Set data safety rules for cryptocurrency
Friday August 04 2023
An attendant opens a customer’s QR code while registering members of the public to the new Worldcoin cryptocurrency at KICC Nairobi on August 1, 2023. PHOTO | WILFRED NYANGARESI | NMG
After several days of biometric data collection from Kenyans by the promoters of the cryptocurrency project WorldCoin, the government belatedly moved to clamp down on the exercise on Wednesday, citing risks that had been highlighted repeatedly by cyber security experts.
This uncoordinated approach to a potential public risk—there is still no clarity over the security of the collected data—has exposed the government’s lack of a comprehensive policy when it comes to handling cryptocurrency.
Aside from the official cautions from the Capital Markets Authority (CMA) and the Central Bank of Kenya (CBK) about the dangers of such investments, issuers are still allowed to sell coins to the public, with some being outright scams.
Now, the risk has evolved, to include data that is collected in the course of issuing such coins and other exercises such as WorldCoin’s registration.
The government agencies involved in the data chain should now craft a comprehensive plan on how to handle the question of data safety, and also conduct public awareness campaigns on the need to protect one’s sensitive personal data in the cyber world.
If this was done, we would not see the long lines witnessed this week of Kenyans queuing to hand over personal data without knowledge of how it will be used, in exchange for a token.
