Brazil Blocks World ID Project Over Biometric Data Concerns

The World ID project’s sponsor, Tools for Humanity (TFH), has been the target of action by Brazil’s National Data Protection Authority (ANPD). Citing worries over the collecting of biometric data in return for cryptocurrencies or financial incentives, the watchdog has ordered the suspension of services in Brazil, beginning January 25.

Crypto Payments Raise Consent Concerns

The ANPD launched an investigation in November 2023, shortly after the World ID project debuted in Brazil. It determined that offering cryptocurrency as compensation could undermine the validity of consent for collecting sensitive biometric data. According to Brazilian law, individuals must freely and explicitly consent to the use of their personal data, especially when it involves highly sensitive information like biometrics.

The ANPD emphasized that financial rewards could influence individuals’ decisions, particularly those in vulnerable situations. The agency also raised concerns about the irreversible nature of biometric data collection and the inability to delete such data once submitted.

World Network, formerly known as Worldcoin, was co-founded in 2019 by OpenAI CEO Sam Altman. The project relies on iris biometrics developed by Tools for Humanity, a company based in San Francisco and Berlin. The initiative aims to create a global digital identity and financial system by scanning individuals’ irises using a high-tech device called “the orb.”

While the project has ambitious goals, critics have questioned its methods and the potential risks associated with biometric data storage. The ANPD’s decision underscores these concerns, particularly in the context of Brazil’s stringent data protection laws.

The ANPD’s ruling highlights the challenges of balancing innovation with privacy rights. With biometric data collection becoming more common, ensuring transparency and protecting individuals’ rights remains critical. As the global conversation around data protection intensifies, the World ID project faces increased scrutiny over its practices.