Colombia’s SIC Investigates Worldcoin for Alleged Data Privacy Violations

Tools for Humanity, the parent firm of decentralized identity project Worldcoin, and its parent organization are the subject of an inquiry by Colombia’s Superintendence of Industry and Commerce (SIC). Potential violations of Colombia’s laws protecting personal data are alleged by the SIC. With the statement on Tuesday, the inquiry officially began with an initial act of indictment rather than a formal charge.

Focus on Data Collection Practices

The investigation centers on whether Worldcoin and Tools for Humanity have violated Colombia’s regulations regarding the collection and processing of sensitive personal data. The SIC aims to assess if the companies’ data processing policies and privacy notices comply with the country’s legal standards. The agency emphasized the importance of determining whether Worldcoin’s practices align with Colombia’s stringent personal data protection regime.

On its website, Worldcoin, which Sam Altman of OpenAI established, states that it is currently using its Orb gadget to collect biometric information from people. There are now 25 locations in Colombia where this technology is in use, including the nation’s capital, Bogotá, as well as other significant cities like Medellín, Cartagena, and Barranquilla.

The SIC may impose harsh fines if the investigation finds that Worldcoin violated Colombian data protection legislation. These might involve severe financial penalties, a six-month interim halt, or possibly the immediate and permanent termination of Worldcoin’s operations in Colombia.