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Worldcoin's Data Collection Activities Hits Pause In Spain

Worldcoin’s Data Collection Activities Hits Pause In Spain – Here’s Why

Samuel Edyme
by Samuel Edyme
1 year ago
·
Posted in Crypto News
Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure

Worldcoin, through its developer Tools for Humanity Corporation, has agreed to halt its operations in Spain until at least the end of 2024. This decision comes in response to an ongoing investigation by the Spanish Agency for Data Protection (AEPD) into the company’s data collection and processing practices.

This pause reflects a broader scrutiny under which the Worldcoin project finds itself across various global jurisdictions.

The AEPD’s investigation is not isolated; similar concerns have been raised by data protection authorities in other countries, including Germany and Hong Kong.

These authorities are examining the extent and nature of Worldcoin’s biometric data collection, specifically the capture of iris and facial images, to create a universal digital identity.

Related Reading: Worldcoin Project Halted: Hong Kong Privacy Commission Orders Cease Of Operations

European Investigations Intensify

According to the report, the Bayerische Landesamt für Datenschutzaufsicht (BayLDA) in Bavaria, Germany, is leading the European investigation. The BayLDA has indicated that their findings will soon conclude and expects to reach a decision that aligns with the requirements of all concerned European supervisory authorities.

This decision will determine Worldcoin’s future operations in Europe, particularly how the company handles the sensitive biometric data it collects.

In Spain, the AEPD had previously mandated a precautionary halt to Worldcoin’s data activities as early as March 2024, citing the need to safeguard personal data under the General Data Protection Regulation (GDPR).

Spain’s National Court supported this, prioritizing the protection of personal data over the company’s operational interests.

Worldcoin Technological And Operational Adjustments

In response to these regulatory challenges, Worldcoin has introduced several changes to its data handling practices. The company has open-sourced its biometric data system, incorporating secure multi-party computation (SMPC) technology.

This technology enhances data security by distributing encrypted parts of a secret across multiple parties, ensuring that no single entity can access the complete dataset. This measure aims to mitigate the risks of data breaches and increase the overall security of stored information.

Furthermore, the Worldcoin Foundation, in collaboration with technology experts from TACEO and Tools for Humanity, has developed this new implementation of SMPC to address scalability and cost issues.

This development is significant when the demand for biometric data processing capabilities is increasing globally.

Additionally, Worldcoin has improved its user interface to allow individuals to delete their old iris codes securely and introduced stringent controls to verify users’ ages and the ability to opt out of the iris scan.

Following the announcement of the operational halt in Spain, Worldcoin experienced only a minor pullback from its 24-hour high of $4.89. The asset is trading at $4.76, maintaining a modest increase of 0.7% over the past day.

Worldcoin (WLD) price chart on TradingView
Worldcoin (WLD) price is moving sideways on the 1-hour chart. Source: WLD/USDT on TradingView.com

Featured image created with DALL-E, chart from TradingView

Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.
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Samuel Edyme

Samuel Edyme

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Edyme is a writer, a content writer that specialises in writing about the crypto realm. Asides Bitcoinist and NewsBTC, Edyme's writing has been featured in top sites such as Blockchain.News, CoinMonk, Blockchain Reporter, Bitcoin Insider among others.

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