German Data Regulator Has Been Investigating Worldcoin Since Last Year: Report

Worldcoin, a web3 startup co-founded by OpenAI’s Sam Altman, has been under investigation by Germany’s data privacy watchdog since November of last year. The Bavarian State Office for Data Protection Supervision opened the investigation due to concerns about Worldcoin’s large-scale processing of sensitive biometric data.

Worldcoin aims to create a global digital identity platform using iris biometrics for “proof of personhood” and offers free cryptocurrency to users in exchange for their iris scans. French privacy watchdog CNIL has also initiated its own investigation, though the Bavarian office has primary responsibility for the inquiry within the context of the European Union.

The German regulator expressed concerns that Worldcoin’s processing of sensitive data on a massive scale using new technology leads to potential risks, including a lack of explicit consent from those whose data is being processed. Privacy campaigners have raised concerns about the wide-scale collection and storage of biometric data, highlighting the need for strict data protection measures. Worldcoin describes its network as “privacy-preserving,” with personal data stored in encrypted form.

The Worldcoin Foundation, based in the Cayman Islands, stated that it complies with the EU’s data protection rules and will cooperate with governing bodies’ requests for information about its privacy practices. Worldcoin’s platform involves scanning users’ eyes with biometric “Orbs” to verify their identities, leading to concerns from regulators and privacy advocates about data protection and security risks associated with biometric data.

In addition to the investigations by Germany’s and France’s data regulators, the UK’s Information Commissioner’s Office has also expressed its intention to make inquiries into Worldcoin’s practices.

Source: Reuters

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August 1, 2023 – by the FindBiometrics Editorial Team