German authorities keep an eye on Worldcoin (WLD) – Reuters
Date: 2023-08-02 Author: Karina Ziganova Categories: IN WORLD
The publication found out that the Bavarian State Data Protection Supervision Authority launched an investigation against Worldcoin back in 2022.
The Worldcoin (WLD) project from OpenAI creator Sam Altman is under the scrutiny of the German regulator. This is reported by Reuters with reference to the head of the state administration of Bavaria for the supervision of data protection, Michael Will. According to him, the German regulator began proceedings against the American crypto company in November 2022.
The reason for the investigation, which is still ongoing, is the fears around the processing of sensitive data in large volumes. Ville noted that retinal scanning technology "is not properly analyzed for a specific purpose in the field of financial communication." According to the German regulator, multiple loopholes around biometric technology create a risk of data abuse, Will explained. Details of the investigation were not disclosed.
This is the second regulator that launched an investigation against Worldcoin. It was previously revealed that in addition to Germany, the investigation against Worldcoin is also being conducted by the British Information Commissioner's Office. How long ago the investigation began is not specified.
The crypto community does not believe in Worldcoin
In addition to scrutiny from regulators, Worldcoin has also faced skepticism and criticism among members of the crypto community. For example, after the listing of the WLD token on centralized crypto exchanges, the cryptocurrency community noted a number of risks associated with the security of the project. Crypto market participants believe that Worldcoin has been actively expanding its user base through the children of Kenya and Chile.
The founder of the Ethereum ecosystem, Vitalik Buterin, also pointed out serious risks regarding the privacy of Worldcoin. In his opinion, there is always a risk of misuse or leakage of information related to the identification of users. Moreover, he believes that the design integrity of the Worldcoin hardware device cannot be verified. Therefore, even if the software is decentralized, the Worldcoin Foundation has the potential to inject a backdoor and create fake data.
