Worldcoin, the cryptocurrency project that aims to distribute digital coins to everyone on the planet using iris scans, has announced that it is temporarily suspending its operations in Spain following a complaint from the Spanish Data Protection Agency (AEPD).
The AEPD issued a resolution on March 8, 2024, stating that Worldcoin’s biometric data collection violates the General Data Protection Regulation (GDPR) and the Spanish Organic Law on Data Protection and Digital Rights (LOPDGDD). The agency ordered Worldcoin to cease its activities in Spain and to delete all the iris scans it had obtained from Spanish citizens.
Worldcoin claims that the ban violates its right to free expression and innovation, and that it has taken all the necessary measures to protect the privacy and security of its users.
Tekedia Mini-MBA edition 14 (June 3 – Sept 2, 2024) begins registrations; get massive discounts with early registration here.
Tekedia AI in Business Masterclass opens registrations here.
Join Tekedia Capital Syndicate and invest in Africa’s finest startups here.
The ban was issued by the Spanish Data Protection Agency (AEPD) in January, after it received several complaints from citizens who felt coerced or pressured to participate in Worldcoin’s eye-scanning scheme. The AEPD argued that Worldcoin’s biometric data collection was disproportionate, unnecessary and potentially harmful for the users’ rights and freedoms.
Worldcoin disagrees with this assessment and says that its project is a revolutionary way to create a more inclusive and fair economy, where everyone can access a basic income through its cryptocurrency. The company also says that it has implemented strict protocols to ensure that the eye scans are anonymous, encrypted and irreversible, and that it does not store or share any personal information with third parties.
Worldcoin, which is backed by prominent investors such as Andreessen Horowitz and Coinbase, claims that its mission is to create a more inclusive and fair global economy by giving everyone access to a universal basic income in the form of cryptocurrency.
To achieve this, Worldcoin uses a device called the Orb, which scans people’s irises and assigns them a unique identifier that links them to a digital wallet. Worldcoin says that the iris scans are encrypted and anonymized, and that they do not store any personal information about the users.
However, the AEPD argues that Worldcoin’s data processing does not comply with the principles of lawfulness, fairness, transparency, purpose limitation, data minimization, accuracy, storage limitation, integrity and confidentiality that are required by the GDPR and the LOPDGDD.
The agency also says that Worldcoin did not obtain valid consent from the users, nor did it provide them with adequate information about their rights and how their data would be used.
Worldcoin has issued a statement on its website, saying that it respects the AEPD’s decision and that it is working to address its concerns. The project says that it is temporarily halting its operations in Spain until it can ensure full compliance with the local regulations. Worldcoin also says that it is committed to protecting the privacy and security of its users, and that it welcomes feedback from regulators and the community.
Worldcoin’s announcement comes amid growing scrutiny and criticism of its ambitious and controversial project. Some experts have questioned the feasibility and scalability of Worldcoin’s vision, as well as the ethical and social implications of using biometric data for identity verification and wealth distribution.
Some critics have also accused Worldcoin of being a scam or a cult, and of exploiting vulnerable people in developing countries.
Worldcoin has defended its project, saying that it is transparent and open-source, and that it has a diverse and passionate team of engineers, researchers, economists and social activists who are working to create a positive impact on the world.
Worldcoin also says that it has partnered with reputable organizations such as UNICEF and GiveDirectly to ensure that its cryptocurrency reaches those who need it most.
Worldcoin’s lawsuit is the first of its kind in Europe and could have significant implications for the future of cryptocurrency regulation and innovation in the continent. The company hopes that the court will overturn the ban and allow it to resume its operations in Spain, where it claims to have more than 100,000 potential users waiting to join its network.
The Arizona passes resolutions SCR 1019 and 1020 on Bitcoin ETFs
The Arizona state senate has recently passed two resolutions that could pave the way for the state to invest in Bitcoin exchange-traded funds (ETFs). The resolutions, SCR 1019 and SCR 1020, were introduced by Senator Warren Petersen and co-sponsored by several other lawmakers. They aim to explore the potential benefits of Bitcoin ETFs for the state’s finances and economy.
Arizona state senate takes bold step; advances resolutions to explore Bitcoin ETFs.
Bitcoin ETFs are investment vehicles that track the price of Bitcoin and trade on regulated stock exchanges. They allow investors to gain exposure to Bitcoin without having to buy, store, or manage the cryptocurrency directly.
Bitcoin ETFs are seen as a way to bring more liquidity, transparency, and legitimacy to the Bitcoin market, as well as to lower the barriers of entry for institutional and retail investors.
The resolutions state that the Arizona state senate recognizes the innovation and potential of Bitcoin and its underlying technology, blockchain, and that it supports the development of a sound regulatory framework for Bitcoin ETFs. They also state that the Arizona state senate urges the United States Securities and Exchange Commission (SEC) to approve Bitcoin ETFs and to provide clear guidance for their operation.
The resolutions also propose that the Arizona state treasurer should consider investing a portion of the state’s funds in Bitcoin ETFs, subject to certain conditions and limitations. The resolutions suggest that investing in Bitcoin ETFs could diversify the state’s portfolio, hedge against inflation, and enhance the state’s returns.
The resolutions are not binding, but they signal the state’s interest and openness to Bitcoin and its related innovations. Arizona is not the only state that has shown support for Bitcoin ETFs. In February 2024, Wyoming became the first state to pass a bill that authorized its treasurer to invest in Bitcoin ETFs. Other states, such as Texas and Nebraska, have also introduced bills or resolutions that aim to facilitate or promote Bitcoin and cryptocurrency activities.
Bitcoin ETFs have been a long-awaited and highly anticipated product in the crypto space, but they have faced several regulatory hurdles and delays in the United States. The SEC has rejected or postponed several applications for Bitcoin ETFs over the years, citing concerns over market manipulation, fraud, custody, liquidity, and investor protection.
However, some analysts and experts believe that the approval of spot Bitcoin ETF in US was a game changer for the overall cryptocurrency’s ecosystem, following the example of other countries such as Canada and Brazil that have already launched their own Bitcoin ETFs.
A Bitcoin ETF could boost the adoption and demand for Bitcoin, as well as its price and market capitalization. It could also create more opportunities and challenges for the crypto industry, regulators, and investors. The Arizona state senate’s resolutions are a bold step that shows the state’s vision and leadership in embracing Bitcoin and its future potential.