• Worldcoin, a newly launched crypto and ID project has faced criticism due to its dystopian features and privacy concerns
• The Information Commissioner’s Office (ICO) of the U.K. is examining the project in order to make further inquiries concerning data laws
• The project’s native token WLD will not launch in the U.S., as there are regulatory concerns over it
Worldcoin Project Raises Privacy Concerns
The newly launched crypto and ID project Worldcoin has come under scrutiny from within the fintech world due to its dystopian features and privacy concerns. In response, the Information Commissioner’s Office (ICO) of the U.K. has announced that they will be examining the project in order to make further inquiries concerning data laws, reported Reuters.
Project Background
Worldcoin was co-founded by OpenAI’s CEO Sam Altman, and secured $115 million in funding back in May from Andreessen Horowitz, Bain Capital Crypto and Distributed Global. Despite criticism from some quarters within the crypto community over aspects such as biometric data security and privacy issues, Worldcoin onboarded over 2 million users during its beta phase. However, a study by MIT Technology Review claimed that many of these first one million users were onboarded through “deception, cash handouts and exploiting workers” in developing countries.
U.S.-Based Exchanges Refusing To List Token
In addition to facing an inquiry from U.K.’s ICO body, Worldcoin’s native token WLD will not launch on any of the U.S.-based exchanges such as Coinbase or Kraken due to regulatory concerns associated with it in America.
Criticism From Within Crypto Community
The digital identification-centered crypto project has received much criticism for its various features that have been deemed dystopian or invasive of user privacy – such as a global database of human IDs issued after an eye scan connected with all financial transaction data of each individual managed by a centralized non-profit collecting sensitive data for KYC/AML purposes.. Anita Posch said on Twitter: “A global database of human IDs issued after an eye scan paid for with useless WorldCoin token connected with all financial transaction data of each individual managed by a centralized non-profit collecting sensitive data for KYC/AML – what could go wrong?”
Conclusion
As regulators around the world cast their eyes on how projects like Worldcoin operate and affect user privacy policies going forward, only time will tell whether or not this ambitious venture will survive or become another cautionary tale about technology gone too far too fast without consideration for user safety measures first and foremost.