Your pictures are suggestive of a condition known as Pearly Penile Papules (PPP).
PPP is not a STI (sexually transmitted infection) though the cause is not known.
PPP usually develop around the corona or sulcus of the glans penis (head of the penis).
However, ectopic PPP have been documented to develop on the shaft of the penis. (O’Neil C, Hansen R. Pearly Penile Papules on the Shaft. Arch Dermatol. 1995;131(4):491-492. Available at http://archderm.jamanetwork.com/article.aspx?articleid=556609. Accessed on March 9, 2014.)
The treatment of PPP includes ablation with the CO2 laser which gives the best cosmetic result.
They can also be removed surgically or by using electrodessication with curettage though there may be scarring.
PPP are not malignant and they do not become cancerous. They only cause cosmetic problems and thus they do not have to be removed.
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