According to a report by Decrypt, a Kenyan court has ordered the digital identity project World Network, co-founded by OpenAI founder Sam Altman, to delete all biometric data it collected in Kenya, further heightening concerns about the data collection practices of this cryptocurrency startup.
World Network was co-founded by Altman and Alex Blania, and it verifies individual identities through specially manufactured iris scanning devices. Users who complete the verification will receive a “World ID” and the project’s native token, WLD.
The Nairobi High Court ruled on Monday that World and its agents collected sensitive biometric data without valid consent from the Office of the Data Protection Commissioner (ODPC), and that they used cryptocurrency as an incentive to obtain this data, violating the principle of informed consent.
Joshua Malidzo Nyawa, a lawyer for the non-governmental organization Katiba Institute that initiated the lawsuit, described the ruling as “a significant victory for privacy rights in Kenya.” He stated:
The court ordered the World Foundation and its agents to delete all collected biometric data within seven days under the supervision of the ODPC. The court also prohibited the foundation from collecting or processing relevant data without proper assessment and without obtaining lawful, non-coercive consent.
World claims that World ID is a “privacy-first” identity verification solution, emphasizing local data storage and encryption protection. However, regulators around the world remain skeptical. Last week, World was asked to suspend operations in Indonesia, where regulators stated that the company was not registered as required by law and may have committed “serious violations” of local laws. Enforcement actions have also been taken against it in places like Hong Kong, Germany, and Brazil due to data privacy concerns.
Despite setbacks in the international market, World is still attempting to expand in the United States. Earlier this month, World announced that it had opened registrations in six cities: Atlanta, Austin, Los Angeles, Miami, Nashville, and San Francisco. Users can receive WLD tokens by verifying their identities and establishing a World ID. World also plans to launch a cryptocurrency Visa card, which will directly link to users’ World App wallets, allowing them to easily make payments with WLD tokens and other crypto assets at merchants worldwide that accept Visa.
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Sam Altman’s Supported Iris Recognition Project World Announces Entry into the US Market, Also to Issue Cryptocurrency VISA Card