German Regulator Investigates Worldcoin Over Biometric Data Concerns

The Bavarian State Office for Data Protection Supervision has been questioning the legality of Worldcoin's iris scans for digital IDs since late 2022.

Credits: REUTERS

The Bavarian State Office for Data Protection Supervision started probing Worldcoin in November 2022.

The regulator is concerned about the project's large-scale processing of sensitive biometric data using new technologies.

Michael Will, the Bavarian regulator's president, said they are leading the investigation under EU data protection rules. This is because Tools For Humanity, the company behind Worldcoin, has a German subsidiary.

Will said the technologies seem neither established nor well-analysed for transferring financial data. This raises risks around consent for using highly-sensitive biometric data. Users must give explicit consent based on sufficient and clear information.

Worldcoin describes its network as privacy-preserving. Personal data is stored in encrypted form. The Cayman Islands-based Worldcoin Foundation said it complies with EU rules. It will continue cooperating with information requests about privacy and data practices.

Since launching last week, over 2.1 million people had faces scanned by orb sign-up sites worldwide. These include France, Germany and Spain. Most signed up during a two-year trial period.

Privacy campaigners have long raised concerns about wide-scale biometric data collection and storage. This could increase surveillance or target certain groups. Several European regulators requested information. France's privacy watchdog said Worldcoin's data collection "seems questionable". The UK regulator will also make inquiries.

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• Bavarian regulator investigating Worldcoin since late 2022 over biometric data use

• Concerns around consent and legality of iris scans for digital IDs

• 2.1 million signed up globally, privacy advocates worried about surveillance risks

• European regulators questioning lawfulness and requesting more information