Cryptocurrency project Worldcoin faces temporary restriction in Spain over data protection concerns
Worldcoin, a cryptocurrency project that aims to provide a digital identity and currency based on biometric data, has been put under a temporary restriction in Spain by the country’s data protection regulator, AEPD. The regulator received complaints against Worldcoin’s parent company, Tools for Humanity, for allegedly failing to provide sufficient information to users and collecting data from minors without proper consent.
The temporary restriction, which will be in place for three months, prohibits Worldcoin from collecting personal data and blocks the data they have already collected in Spain. The AEPD emphasized the importance of protecting biometric data under the GDPR and stated that the measure is aimed at safeguarding individuals’ right to data protection.
In response, Worldcoin defended its practices, stating that it operates lawfully and is supervised by the Bavarian data protection authority in the EU. The company accused the AEPD of spreading inaccurate information and claimed that they had been transparent about their project.
Worldcoin’s project involves creating a digital identity through biometric verification and offering a digital currency for being human. Users can choose to provide their biometric data through an Orb device, which scans their face and iris. The company assures users that they can revoke consent and delete their data at any time.
However, concerns have been raised about the transparency of Worldcoin’s consent-seeking practices. Reports suggest that users in India were not adequately informed about how their biometric data would be used. This lack of transparency may have contributed to the complaints received by the Spanish regulator.
As the situation unfolds, it raises questions about the importance of informed consent and data protection in the cryptocurrency space. Users are advised to carefully consider the implications of sharing their biometric data with such projects and ensure that their rights are protected.