Portugal Bans Worldcoin Amid Privacy Concerns
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The Worldcoin cryptocurrency project continues to receive global backlash due to privacy concerns and it has now been banned in Portugal.
The project was launched by the CEO of OpenAI, Sam Altman, under a company known as Tools For Humanity. Portuguese authorities have issued a temporary ban against the project, dealing a fresh blow to the project as it has been hit by multiple bans globally.
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The Worldcoin project was started by Altman in 2023. The project sought to become a “World ID” where users could have a unique identity that they could use to secure their online accounts.
Worldcoin Slapped with Another Ban in Portugal
The Worldcoin project leverages iris patterns to give users access to a private digital identity. According to Altman, this project solves a major issue in the cryptocurrency industry, which is a rapid increase in pseudonyms, bots, and scams. The project also seeks to preserve online identities by addressing the issue of convincing deep fakes created by artificial intelligence.
Despite having a solid goal and mission, the Worldcoin project has been plagued by multiple complaints about privacy. The project has been collecting data from adults and children alike, prompting criticism from parents saying their children’s data has been collected without their consent.
There have also been concerns about how Worldcoin handles the data collected from users. The company has not been forthcoming about the processes it uses to collect, store, and manage this data.
The National Data Protection Commission (CNPD) in Portugal has now imposed a three-month ban against Worldcoin. The commission is planning to conduct the necessary investigations within three months before coming up with the final decision.
According to regulators, the temporary ban sought to protect the fundamental right to data protection, especially when it comes to minors. The CNPD also said that over 300,000 people in Portugal have already received payments from Worldcoin in exchange for their biometric data.
Worldcoin’s Woes Continue
The recent ban in Portugal adds to the growing list of countries that have banned Worldcoin. In March 2024, Spanish authorities also imposed a ban against Worldcoin.
The project is also facing a probe by the Bavarian State Office for Data Protection Supervision. The probe will end in a few weeks, and the results could affect the ability of Worldcoin to continue its operations in the EU.
The data protection officer for the Worldcoin Foundation, Jannick Preiwisch, commented on the development saying the project was fully compliant with EU guidelines around data privacy and protection.
“The Worldcoin Foundation has the utmost respect for the role and responsibilities of data protection authorities, in the CNPD in Portugal,” the project said. “Since offering humanness verification services in Portugal, we have been completely transparent and happy to address CNPD’s questions or concerns.”
The regulator further said that the CNPD report marked the first time it was hearing from Portuguese authorities about concerns around the project. The project noted that it had zero tolerance for underage signups.
