German Regulator Orders World App to Delete All Biometric Data, Firm Appeals

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As a seasoned crypto investor with a keen eye for regulatory developments, I find myself both intrigued and concerned by the ongoing saga of World (WLD). Having witnessed the rise and fall of numerous projects, I’ve learned to navigate the treacherous waters of compliance and regulation.

The human-verification initiative formerly known as Worldcoin, now called World (WLD), has attracted attention from German regulatory bodies.

Significantly, the Bavarian State Office for Data Protection Supervision, a German privacy regulator, has instructed the company World to delete all biometric data it has gathered. This data, which World amassed by scanning users’ eyeballs during the human verification process, is now subject to removal.

World Appeals and Defends Practices

According to an official announcement by BayLDA, it’s crucial that World not only discloses its data erasure process but also adheres to the guidelines stipulated in the General Data Protection Regulation (GDPR). The regulatory body has established a deadline of one month after December 19, 2024, for the company to fulfill these obligations.

Furthermore, they have instructed organizations like World to erase certain data records that were gathered without proper legal approval in the past. In future, they require a clear and specific consent process to be implemented for any data processing procedures.

To provide some clarity, it’s important to note that the Bavarian State Office for Data Protection Supervision, often referred to as BayLDA, oversees adherence to GDPR regulations within private businesses. The recent update from BayLDA marks the culmination of a thorough investigative procedure initiated in April 2023.

In response to the verdict from BayLDA, World – the iris-scanning cryptocurrency initiative jointly established by Sam Altman – promptly filed an appeal against the decision.

It’s not surprising that the world might face troubles with yet another country within the EU, given Spain’s recent actions. Back in June 2024, our company had to halt operations in Spain due to the Spanish Data Protection Agency delaying decisions, waiting for BayLDA’s investigation results to be concluded first.

Shifting Focus Amid Regulatory Scrutiny

Ever since its debut in 2023, the Proof-of-Humanity platform has encountered challenges due to regulatory issues. Authorities have voiced worries about the gathering and preservation of users’ biometric information.

Although Altman has assured everyone about the project, these worries persist. The company, in fact, transitioned to a new system that no longer retains biometric information. Nevertheless, we continue to face obstacles due to regulations from governing entities.

After BayLDA’s decision, World subtly suggested a potential reason for their upcoming appeal. According to World, the result of BayLDA’s investigation was heavily influenced by outdated operations and technologies. The company insists that they surpass GDPR standards by applying more stringent data protection practices. In particular, World no longer retains iris codes used for World ID verification, and has deliberately erased all previously held biometric data from their systems.

As an analyst, I’ve been monitoring a persistent conflict unfolding in several European nations, notably Portugal and France. In the case of Portugal, there have been rising apprehensions about the gathering of biometric information concerning minors.

Nevertheless, the decision was made by the World in October to focus on expanding into Asian and Latin American nations like Malaysia, Japan, and Argentina. It is believed within the company that these territories offer more growth potential compared to Europe. Notably, the company has achieved significant achievements in these areas.

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2024-12-20 00:00