The blockchain world watched with bated breath as Worldcoin, co-founded by Sam Altman of OpenAI, launched on June 24. The startup’s vision was grandiose, offering a “digital passport” to millions called “World ID”. This involved scanning the irises of individuals in 20 different countries as a proof-of-personhood, assuring a sterile divide between robots and humans, and rewarding them with 25 WLD, the project’s native token.
However, European regulators including the CNIL in France and state authorities in Bavaria, Germany, questioned the legality and ethics of its data collection methods and the storage of such sensitive biometric data. This led to investigations and active collaborations to square-off issues associated with Worldcoin.
In spite of these legal scepticisms, Worldcoin managed to secure an impressive 2.1 million sign-ups during their two-year trial period, indicating humans verifying their World IDs every 7.6 seconds. Even in the face of these numbers, Worldcoin seemingly struggles to attract new sign-ups, causing the critics to highlight the slow progress towards mass adoption. Yet the company plans to amplify their presences in significant cities, increasing their sign-up capacity by five times.
The Worldcoin project has sparked a myriad of sentiments within the crypto world. On one hand, it is seen as a revolutionary idea addressing the rising concerns of AI invasions, on the other, there are apprehensions regarding its centralization. The British Information Commissioner’s Office has also disclosed ongoing investigations into the project given that it falls into the category of “high-risk” information collection. While some still stand enamored by the ambitious project, among the critics stands none other than Ethereum co-founder Vitalik Buterin, warning of the major potential risks including inadvertent exposure of sensitive personal details through iris tracking.
Worldcoin has responded to these concerns by stating its compliance with data protection laws like the GDPR and the UK Data Protection Act. The company also relayed its cooperation with governing bodies in all matters of privacy and data protection. On a positive note, the company has also taken steps towards conducting a comprehensive Data Protection Impact Assessment in the UK with the support of a top-tier law firm, with the promise of immediate attention to requests for personal data deletion. However, despite their measures, the questions around data privacy and security issues still loom, making the tumultuous journey of Worldcoin a closely watched spectacle in the crypto world.
Source: Cryptonews
