Spain’s data protection regulator, AEPD, has issued a stern directive to the controversial crypto project Worldcoin, ordering it to immediately cease the collection and processing of personal data within the country for three months. This precautionary measure comes in response to numerous complaints filed with the regulator regarding Worldcoin’s data collection practices.
The complaints raised concerns about the adequacy of information provided by the project regarding data processing, the gathering of data from minors, and the lack of provisions for withdrawing consent. AEPD director Mar España Martí emphasized that Spain is the first European nation to take action against Worldcoin, driven by particular worries over the company’s data collection from minors.
This development deals another blow to Worldcoin, which has sparked controversy across various countries due to its use of an eyeball-scanning device called an “orb” to establish a proof-of-personhood system. Privacy advocates and regulators worldwide have voiced apprehensions about the project’s lack of transparency surrounding data collection methods.
Under the General Data Protection Regulation (GDPR), entities handling personal data such as names, contact information, biometrics, and other identifiers must have a legitimate legal basis for their activities. Violations can result in substantial fines of up to 4% of annual global turnover.
In addition to the crackdown in Spain, Worldcoin is also under scrutiny in Hong Kong, where the Privacy Commissioner’s Office has reportedly conducted inquiries at several locations linked to the project, investigating potential breaches of the Personal Data (Privacy) Ordinance.
As Worldcoin faces mounting regulatory scrutiny and public backlash, it remains to be seen how the project will address these privacy concerns and ensure compliance with data protection laws across different jurisdictions. The future of this ambitious endeavour may hinge on its ability to navigate the complex regulatory landscape and regain the trust of consumers and authorities alike.
