Brazil's data protection authority has directed Sam Altman's World Network, formerly known as Worldcoin, to cease offering cryptocurrency or financial rewards for collecting biometric data.
What is World Network and Its Data Collection Model?
World Network 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 and financial network by using iris biometrics to verify individuals. This process involves scanning people's irises with a device known as the “Orb,” 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.
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 given explicitly for specific purposes. The ANPD believes that offering crypto payouts as compensation for biometric data may compromise the validity of consent obtained from participants.
Tools for Humanity Responds to Allegations
In response to Brazil's order, Tools for Humanity has reportedly denied any wrongdoing. The company has reiterated its commitment to adhering to Brazilian data protection laws and criticized what it describes as misinformation spread about the project on social media.
However, the reaction of the Brazilian regulator and the growing public concern raise important questions about the consent process and data protection. Active discussions between World Network and Brazilian authorities are expected ahead.
