Crypto
Spain Bans Sam Altman’s Worldcoin Amid Data Collection Concerns
Topline
Spain has banned Worldcoin, a digital ID cryptocurrency venture launched by OpenAI chief executive Sam Altman, after the countryâs privacy watchdog cited concerns over how the companyâs eyeball-scanning technology collects and processes biometric data.
Key Facts
The Spanish Data Protection Agency (AEPD) issued a precautionary measure Wednesday that prohibits Worldcoinâs activities in the country for up to three months, after the agency received âseveral complaintsâ about alleged insufficient information, the collection of data from minors and concerns that consent canât be withdrawn.
Worldcoinâs World ID requires users to scan their eyeballs through âorbs,â a device that captures an image of the userâs irises, before they receive a unique form of identification and the Worldcoin cryptocurrency.
AEPD requested Tools for Humanity, the company that collects and processes usersâ personal data, to cease collecting additional data for new users in the country and stop using the data already gathered by Worldcoin.
Processing biometric data requires âspecial protectionâ because of âhigh risks to the rights of individuals,â including possible data transfers to third parties, the agency said.
Jannick Preiwisch, Worldcoinâs data protection officer, said in a statement to Forbes the Spanish agency was âcircumventing EU lawâ while spreading âinaccurate and misleading claimsâ about the company, which added its World ID was âthe most privacy-preserving and safest solution for asserting humanness in the age of AI.â
What To Watch For
Preiwisch noted Worldcoin has been communicating with data protection officials in Bavaria, the region of Germany where Tools for Humanity is located. Michael Will, president of Bavariaâs data watchdog, told Reuters discussions with Worldcoin would result in a âfinal evaluationâ for other European agencies âvery soon.â
Big Number
4 million. Thatâs how many people across 120 countries have signed up to have their eyes scanned through Worldcoinâs âorb,â according to the company.
Key Background
Worldcoin, a cryptocurrency and digital ID project, launched last year following a yearslong development process. The project aimed at resolving issues presented by developments in artificial intelligence, including challenges verifying someoneâs identity. Worldcoin provides users with a unique digital identity after their eyes are scanned by a silver orb. Prospective users were incentivized to join the project through the Worldcoin cryptocurrency token, which becomes available to new users. Worldcoin has suffered from technical issues since its launch, with some users saying they were unable to claim their tokens after their eyes were scanned. One Kenya-based operator told Forbes that Worldcoin failed to respond to hundreds of complaints after its network went offline less than two weeks after its launch. Some users also managed to trick the orb into creating multiple Worldcoin accounts for the same person.
Further Reading
What Is Worldcoin? Hereâs What To Know About The Eyeball-Scanning Crypto Project Launched By OpenAIâs Sam Altman (Forbes)
Sam Altmanâs Worldcoin Soars After Launch Of OpenAIâs âSoraâ Video Tool (Forbes)