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Cryptocurrency News Articles

Worldcoin's Biometric Data Collection in Europe Halted by Regulatory Concerns

Mar 27, 2024 at 03:00 am

Worldcoin's Biometric Data Collection in Europe Halted by Regulatory Concerns

Is Worldcoin's Biometric Data Collection in Europe Under Fire?

Worldcoin, a blockchain project known for its data-driven approach, has encountered yet another regulatory obstacle in Europe. The National Data Protection Commission (CNPD) of Portugal has ordered Worldcoin to temporarily halt its biometric data collection using its Orbs devices.

Protections for Citizen Data

The CNPD's decision stems from its ongoing commitment to safeguarding citizen data, especially for vulnerable groups like minors. The action follows an investigation initiated on March 8th, prompting immediate suspension of Worldcoin's operations until the inquiry concludes.

Worldcoin's mechanism entails scanning individuals' irises with its Orb devices, offering them a digital ID and cryptocurrency in return. Notably, Portugal reports that 300,000 citizens have already shared their biometric information with Worldcoin.

Regulatory Interventions Mounting

The CNPD's intervention mirrors concerns raised by authorities worldwide. Kenya has remained steadfast in its opposition to the project, while authorities in Spain have also ordered Worldcoin to cease operations due to complaints regarding consent revocation and alleged data collection from minors without proper authorization.

Worldcoin's Response and Regulatory Compliance

Despite these regulatory challenges, Worldcoin has consistently affirmed its commitment to legal compliance in all jurisdictions. On March 18th, the company vowed to adhere to all applicable regulations. Subsequently, on March 22nd, Worldcoin announced plans to open-source its software and implement a "personal custody" privacy feature, granting users enhanced control over their data.

Privacy Concerns and Consent Compliance

Worldcoin's biometric data collection practices have drawn scrutiny over privacy concerns and consent compliance. Authorities, including the CNPD, have expressed worries about unauthorized data collection from minors, violating parental or legal consent protocols.

Open-Sourcing and User Empowerment

In response to these concerns, Worldcoin's open-sourcing initiative and implementation of a "personal custody" feature aim to empower users with greater control over their data. By addressing privacy and consent issues proactively, Worldcoin seeks to navigate the regulatory landscape successfully.

Balancing Data Innovation and Privacy Rights

Worldcoin's biometric data collection has sparked a debate on the intersection of data innovation and privacy rights. As technology continues to evolve, regulators and companies alike must strike a delicate balance between fostering innovation and safeguarding the privacy of individuals, especially vulnerable populations like minors.

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Other articles published on Jan 10, 2025