Worldcoin Halts Operations in Spain Amid Ongoing Data Handling Probes but Continues to Grow Globally
Summary:
Worldcoin, the financial and human identity network established by Tools for Humanity Corporation, has agreed to halt all Spanish operations until end of 2024 or until an ongoing investigation concludes. This follows a directive from the Spanish Agency for Data Protection (AEPD). The company is also under investigation by the Bavarian privacy regulator, BayLDA, regarding its handling of user data. During this pause, Worldcoin has improved its security measures and now allows users to delete old iris codes. Despite financial regulator reservations, Worldcoin continues to grow its user base, and in April 2024, reached a milestone of ten million users with 70 million transactions. The firm also plans to increase WLD token supply by up to 19% in the next six months.
The Spanish privacy regulator has confirmed that Worldcoin has legally agreed to halt all activities in Spain until the conclusion of the year. The Spanish Agency for Data Protection (AEPD) announced on June 4 that Tools for Humanity Corporation, the firm behind the finance and human identity network Worldcoin, won't restart data collection and processing until 2024 year-end or until the conclusion of an ongoing probe. Presently, the privacy regulatory body of Bavaria, Germany, Bayerisches Landesamt für Datenschutzaufsicht (BayLDA), is conducting an investigation into how the corporation handles the private data of its users. The investigations by the European Union (EU) are ongoing.
As per the announcement, the BayLDA is expediting the investigative procedures and is believed to reach a conclusion “shortly” with a definitive judgement that agrees with all relevant European supervisory bodies. This involves the Spanish authorities who directed Worldcoin to desist from collecting and processing personal data within the scope of its Worldcoin project in Spain in March 2024. Throughout this investigatory phase, Worldcoin has enhanced its security practices by making its biometric data system open-source, and it confirmed that users can now safely erase old iris codes. To offer greater control to users, Worldcoin now provides more inclusive checks for user’s age and the option to remove the iris code.
Countries like Spain and Germany are among several nations that have expressed scepticism towards the Worldcoin project. On May 22, the project was instructed to cease operations in Hong Kong following a judgement that it was not justified in retaining sensitive biometric data for up to 10 years to train artificial intelligence (AI) models, which included face and iris images.
Despite concerns from regulatory bodies, Worldcoin has gained traction in terms of its user base. In April 2024, it hit a milestone of ten million users and 70 million transactions. The project made headlines when a man in Africa used its digital currency to buy around 13 goats. In the same month, the project also announced the launch of its own “human-centric” blockchain network World Chain, aiming to give priority to human users, boost efficiency and enhance real-world usability in Web3 applications. Worldcoin also stated that they aim to increase the supply of its WLD token by up to 19% in the forthcoming half-year.
Published At
6/4/2024 4:24:42 PM
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