Brazil Bans Worldcoin from Giving Away Cryptocurrency for Iris Scans
Date: 2025-01-30 Author: Gabriel Deangelo Categories: BUSINESS
The National Authority for Data Protection (ANPD) has ordered Tools for Humanity, the company behind the World Network project (formerly known as Worldcoin), to cease operations in Brazil effective January 25 following an investigation that began last November after the World ID project launched in the country.
The ANPD said that offering cryptocurrency as compensation could call into question the validity of users’ consent to collect sensitive biometric data. The organization is concerned that financial incentives could influence people’s decisions, especially in vulnerable situations. Concerns have also been raised about the privacy of biometric data, its irreversibility, and the inability to delete the data once provided.
The World Network project was founded in 2019 and aims to create a universal digital identity and financial network using iris biometrics. It uses a futuristic "ball" that scans the iris.
According to Brazilian law, consent to the processing of sensitive personal data must be free, informed, unambiguous and specifically provided for specific purposes. ANPD expressed concern that financial compensation could put pressure on people, which is especially true for vulnerable groups.
In December, similar measures were introduced by the German data protection authority, which required Worldcoin to implement measures to comply with the EU General Data Protection Regulation.
The price of the native WLF token, launched in July 2023 to operate the network, has fallen by more than 8% in the last 24 hours, falling below $2. Compared to the record price of $11.74 in March 2023, the token has fallen by 83%.
