{"id":20539,"date":"2023-05-04T00:34:15","date_gmt":"2023-05-04T00:34:15","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/crypto-exchange-coinbase-faces-legal-action-over-biometric-data-collection-exchanges-bitcoin-news\/"},"modified":"2023-05-04T00:34:15","modified_gmt":"2023-05-04T00:34:15","slug":"crypto-exchange-coinbase-faces-legal-action-over-biometric-data-collection-exchanges-bitcoin-news","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/crypto-exchange-coinbase-faces-legal-action-over-biometric-data-collection-exchanges-bitcoin-news\/","title":{"rendered":"Crypto Exchange Coinbase Faces Legal Action Over Biometric Data Collection \u2013 Exchanges Bitcoin News"},"content":{"rendered":"

(Originally posted on : Bitcoin News )<\/b>
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The Nasdaq-listed cryptocurrency exchange Coinbase has been accused of \u201cwrongfully\u201d profiting from its users\u2019 facial and fingerprint scans. \u201cCoinbase collects, stores, possesses, otherwise obtains, uses, and disseminates its users\u2019 biometric data to, amongst other things, further enhance Coinbase and its online \u2018app-based\u2019 Platform,\u201d a proposed class action lawsuit details.<\/strong><\/p>\n

Coinbase \u2018Wrongfully Profits\u2019 From Users\u2019 Facial and Fingerprint Scans<\/h2>\n

A proposed class action lawsuit, filed Monday in the Northern District of California, alleges that the Nasdaq-listed cryptocurrency exchange Coinbase (Nasdaq: COIN) illegally collects face templates and fingerprints of its customers in violation of Illinois\u2019 biometric privacy law.<\/p>\n

Plaintiff Michael Massel, a Coinbase customer, explained that the crypto exchange requires users to upload a government ID and selfie for verification and set up biometric authentication (fingerprint scan) for mobile app login.<\/p>\n

\u201cCoinbase collects, stores, possesses, otherwise obtains, uses, and disseminates its users\u2019 biometric data to, amongst other things, further enhance Coinbase and its online \u2018app-based\u2019 Platform,\u201d the lawsuit describes, adding:<\/p>\n

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Coinbase wrongfully profits from the facial and fingerprint scans it has collected or otherwise obtained from its users.<\/p>\n<\/blockquote>\n

\u201cFacial geometry and fingerprint scans are unique, permanent biometric identifiers associated with each user that cannot be changed or replaced if stolen or compromised. Coinbase\u2019s unlawful collection, obtainment, storage, and use of its users\u2019 biometric data expose them to serious and irreversible privacy risks,\u201d the plaintiff detailed.<\/p>\n

The Illinois Biometric Information Privacy Act (BIPA) has been a major driver of lawsuits against companies across a wide range of industries in recent years. The law requires companies to obtain consent before collecting biometric data, including fingerprints or facial scans, and to let users know how long the data will be kept. According to the complaint:<\/p>\n

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Coinbase has created, collected, and stored thousands of \u2018face templates\u2019 \u2013 highly detailed geometric maps of the face \u2013 and fingerprints from countless Illinois residents.<\/p>\n<\/blockquote>\n

What do you think about Coinbase\u2019s alleged collection and use of customers\u2019 biometric data? Let us know in the comments section below.<\/strong><\/em><\/p>\n

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\nKevin Helms <\/h6>\n

\nA student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography.

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Image Credits<\/b>: Shutterstock, Pixabay, Wiki Commons<\/em><\/p>\n

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Disclaimer<\/strong>: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com<\/a> does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.<\/p>\n<\/div>\n

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