Colombia's Consumer Protection Agency Probes Worldcoin Over Alleged Biometric Data Breaches

Worldcoin, co-founded by OpenAI CEO Sam Altman, gives out “World IDs” whenever people use an Orb to SCAN their irises.

Colombia’s consumer protection agency has launched an investigation into Worldcoin, a biometric cryptocurrency project, over allegations of breaching personal data protection laws.

The Superintendence of Industry and Commerce (SIC) is looking into whether Worldcoin and its parent company, Tools for Humanity, obtained consent from users before collecting their iris data and whether they had clear policies on the treatment and protection of the data.

Worldcoin, co-founded by OpenAI CEO Sam Altman, gives out “World IDs” whenever people use an Orb to scan their irises. In return for these scans, users are paid in cryptocurrency, specifically in WLD tokens. The project has onboarded over 6.5 million people worldwide.

These users include many in Colombia, where it launched operations in June 2023. Currently, Worldcoin has deployed Orb devices in 25 spaces across seven cities in Colombia, including Bogota, the country’s capital.

The investigation was sparked by a complaint filed by the Colombian Federation of Consumer Protection Organizations, which alleged that Worldcoin was collecting biometric data without users’ knowledge or consent and that the company’s privacy policy was insufficient.

The SIC is also investigating whether Worldcoin offered users sufficient channels for handling complaints and concerns about their data.

If the SIC finds that Worldcoin has violated Colombian law, it could impose significant sanctions, including fines of between 100 and 2,000 times the monthly minimum wage. The agency could also suspend Worldcoin’s operations for a period of between 24 hours and six months, or even permanently for any activities involving sensitive data.

The investigation highlights the increasing international focus on the privacy policies of technology organizations, especially those linked to biometrics.

Like most biometric identity systems, Worldcoin’s data collection policies have been criticized in other countries too. Despite the願望 to provide users with the possibility of decision-making regarding their data, Worldcoin faced a ban in Hong Kong earlier this year.

The SIC underlined its appreciation of the fundamental rights of citizens and called on the public to be aware of the protection of their details. The notice of charges is currently under review, and all involved parties have been notified.

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