Brazil's data protection authority has directed World, formerly Worldcoin, to cease collecting biometric data for cryptocurrency. This directive follows an investigation initiated in November 2024.
What is World Network and Its Biometric Data Collection Model?
World Network, formerly known as Worldcoin, is a project co-founded by Sam Altman, CEO of OpenAI, and developed by Tools for Humanity. The initiative aims to build a universal digital identity using iris biometrics to verify individuals. This process involves scanning people's irises with a device known as the “Orb,” which is designed to create a secure and verifiable digital identity for users. The project was launched with the promise of offering crypto rewards in exchange for biometric data, such as iris scans, with the goal of ensuring equitable access to financial services and digital identity.
The Issue of Consent: Brazil’s Data Protection Laws
Under Brazil’s stringent data protection laws, similar to the EU's GDPR, consent for processing sensitive personal data must be free, informed, unequivocal, and explicitly given for specific purposes. The ANPD believes that offering crypto payouts as compensation for biometric data may compromise the validity of the consent obtained from participants. The agency's concerns focus on financial incentives unduly influencing individuals' decisions, especially those in vulnerable situations, leading to consent that isn’t entirely voluntary or informed. Furthermore, Brazil’s regulators highlighted the irreversible nature of biometric data collection, with concerns over how this sensitive information is stored and used.
Tools for Humanity Responds to the Allegations
In response to Brazil's order, Tools for Humanity reportedly denied any wrongdoing. The company reiterated its commitment to adhering to Brazilian data protection laws and criticized what it describes as misinformation spread about the project on social media. The organization emphasized that its intentions in Brazil are genuine and expressed its desire to continue offering its services to the Brazilian population. Tools for Humanity plans to engage with the Brazilian data protection agency, hoping to convince them of the project's significance and commitment to privacy standards. The company also highlighted its measures for safeguarding user data, such as data minimization and user control over their personal information, including iris code deletion.
World seeks to discuss its position with Brazilian authorities and expressed confidence in its ability to continue providing services in the country.