WhatsApp's proposed username feature has ignited a debate among cybersecurity experts and users, who warn it could lead to a surge in impersonation, spoofing, and financial fraud. The feature, which allows users to communicate without sharing phone numbers, is currently in early reservation phase and is set for official rollout later this year.
Government Scrutiny and Legal Concerns
The Indian government is examining the legal framework surrounding WhatsApp's username feature over fraud and impersonation concerns, according to sources. Officials indicated the government is likely to send a notice to WhatsApp seeking full details about the feature and its implications. Law enforcement agencies may also examine the issue, an official said.
Expert Warnings on Accountability and Trust
Faisal Kawoosa, Chief Analyst and Founder at Techarc, noted that while phone numbers offer a layer of verification, usernames can be misleading. “While celebrity names have been reserved, it’s still easy to impersonate, and we have seen how verified accounts have worked on X. Fraudsters can easily use some variations which commoners won’t be able to catch easily,” Kawoosa said, adding that public trust in WhatsApp as a safe platform for communication is likely to decline.
Abhilash Kumar, Lead Research Advisor at Smart Analytics Global, called the feature “both a boon and a bane.” He said it will reduce the chances of ending up on spam lists, as users no longer need to share their primary contact number for every business discussion. However, he warned it could dilute identity authenticity. “WhatsApp should internally map usernames to the underlying phone number and introduce robust identity verification mechanisms,” he suggested.
Challenges for Ordinary Users and Businesses
Nikhil Narendran, Partner (TMT) at Trilegal, noted that while reserving handles may protect celebrities, the larger challenge is protecting ordinary users and small businesses. “Trust is shifting from a visible telecom identifier to a platform-managed identity. Banks and businesses will need to rely more on verified business accounts, in-app verification, digital signatures and customer education, rather than assuming that a phone number is sufficient proof of identity,” Narendran said. Users may assume a familiar-looking username is genuine without noticing subtle variations, substantially increasing the chances of spoofing.
Prachir Singh, Senior Analyst at Counterpoint Research, pointed out that the feature reduces a simple layer of accountability, as users can no longer verify someone’s identity by simply calling their number. “Although WhatsApp has introduced safeguards such as the optional username key and reserved usernames for public figures, lookalike usernames and impersonation will remain challenges. Going forward, stronger impersonation detection and more visible verified accounts will be essential, especially for banks, businesses, and government agencies,” Singh added.
Industry Leaders Voice Concerns
Paytm founder and CEO Vijay Shekhar Sharma warned that lookalike usernames could become a major vector for impersonation and scams if not properly protected. MobiKwik CEO Bipin Preet Singh strongly opposed the update, calling it “not a good idea at all.” He noted that it would lead to a proliferation of fraud and impersonation, revealing that most variations of his own name were already taken during the early reservation phase.
Author and entrepreneur Ankur Warikoo warned that the feature could be a “disaster” in India if the right anti-abuse systems are not established. Highlighting how scammers could use subtle variations of a username to solicit money, Warikoo said, “Most people don’t understand verified status... So, forgive me, if from a public figure’s standpoint, this feature raises some serious concerns.”
Rajeev Mantri, founder and Managing Partner of Navam Capital, called it a “colossal data harvesting and data pooling scheme.” He said, “Meta’s objective is to get you to link social accounts across WhatsApp and Instagram to move the needle on ad targeting and thus improve engagement and revenues. They are playing on consumers’ FOMO to quickly grab the username of choice. Clever.”
WhatsApp's Privacy Intentions and Potential Pitfalls
WhatsApp stated the move is aimed at enhancing user privacy, particularly in group chats or when connecting with new acquaintances, by eliminating the need to exchange phone numbers. However, analysts caution that platform-managed identities remove a crucial layer of accountability. Early reservations have already seen close variations of prominent names taken, raising fears of impersonation. The government's scrutiny and expert warnings underscore the need for robust safeguards before the feature's full rollout.
