Portugal's Privacy Watchdog Halts Worldcoin's Biometric Data Project

Portugal's data protection regulator, CNPD, has ordered Worldcoin to cease biometric data collection for 90 days due to alleged data protection risks, including concerns about unauthorized data collection from minors, lack of information provided to data subjects, and the inability to withdraw consent.

Has Worldcoin Skirted Portugal's Privacy Laws?

Portugal's National Commission for the Protection of Data (CNPD) has thrown a wrench into Worldcoin's biometric data-gathering project, ordering a 90-day halt to its operations in the country. Citing concerns over data protection violations, the regulator has put Worldcoin's compliance under the microscope.

Compliance in Question

The CNPD's suspension targets the Worldcoin Foundation, the entity behind the project, which has been accused of failing to obtain proper consent from participants, especially minors. The regulator also raised concerns about the lack of transparency regarding data sharing and the inability to withdraw consent or delete data.

Data Protection in Jeopardy

Over 300,000 Portuguese citizens have already provided their biometric data to Worldcoin, prompting a flurry of complaints to the CNPD. The regulator's investigation centers on the alleged "high risk" posed to citizens' data protection rights.

Worldcoin's Response

Worldcoin has dismissed the allegations, claiming full compliance with all laws and regulations governing biometric data collection. Data protection officer Jannick Preiwisch has emphasized the company's zero-tolerance policy for underage sign-ups and its commitment to addressing any complaints.

Privacy Storm Brewing

Worldcoin's regulatory woes extend beyond Portugal. Spain's data protection watchdog has also imposed a three-month ban due to privacy concerns, and Kenya has suspended Worldcoin's operations altogether. Germany's Bavarian State Regulatory Authority is investigating Worldcoin's practices under EU data protection rules.

Challenges Ahead

The regulatory scrutiny has cast a shadow over Worldcoin's ambitious vision of using biometric data for financial inclusion. The project, which claims to have garnered over 4.5 million sign-ups globally, faces an uphill battle in addressing regulatory concerns and regaining public trust.

WLD Performance Undeterred

Despite the regulatory headwinds, Worldcoin's native token, WLD, has shown resilience, posting a 12% gain over the past week. The token has rebounded from a sharp drop and is currently trading at $9.01, buoyed by increased market sentiment and a surge in trading volume.

Technical Analysis

The WLD token faces resistance at $9.5 and $10.14 in the event of a continued rally. Support lies at $8.36, with a downtrend potentially leading to $8 and $7.93. The daily chart indicates an upward price trend for WLD.