Worldcoin draws the ire of Argentina next

• The U.K., France, Germany and Kenya are already investigating Worldcoin due to similar concerns.
• Previously, Ethereum’s Vitalik Buterin had said that some privacy and ethical issues raised around the project could be valid.

The government of Argentina recently announced that it is investigating the treatment of personal data by Worldcoin [WLD], the blockchain project launched by OpenAI’s Sam Altman.

Daniel Monastersky, a partner at the Data Governance Latam and Director of the Center for Studies in Cybersecurity and Data Protection at Buenos Aires’s CEMA University, filed a complaint with the Agency for Access to Public Information of Argentina (AAIP) last week. AAIP is a data comptroller organization in Argentina.

Monastersky’s complaint emphasized the serious risks associated with Worldcoin’s request for biometrics. A company’s uncontrolled access to this information could result in user privacy violations, unethical data use, and the likelihood of breaches or unauthorized access to the database.

Furthermore, the company’s biometric data disclaimer raises concerns about the lack of control consumers have over the subsequent use of their information.

AAIP then sent a letter to the Worldcoin Foundation, asking it to confirm if the corporation is taking all available precautions to protect the privacy of Argentinians taking part in the project.

AAIP said that the Wordcoin Foundation must adhere to the procedures outlined in the Personal Data Protection Act. This means that the organization should register with the institution. It should provide information about its data treatment practices, mention the purpose for requiring data, and inform on the time frame for preserving the gathered information.

The organization must also outline the security and confidentiality methods it employs to protect the personal information of Argentine citizens.

The government stated that if issues are found after this probe, it will take appropriate steps to address any identified issues and ensure that Wordcoin complies with security and privacy standards.

Privacy concerns plague Worldcoin

Argentina isn’t the only country worried about privacy concerns raised around Worldcoin.

The Information Commissioner’s Office, a watchdog in the United Kingdom, is also looking into similar concerns.

A recent Reuters report mentioned that the National Commission of Informatics and Liberty (CNIL), a French privacy watchdog, questioned the legality of Worldcoin’s biometric data collection. Another Retuers report mentioned that the Bavarian State Office for Data Protection Supervision, a German data watchdog, had been investigating the project since November 2022.

Kenya suspended Worldcoin’s activities in the country soon after its launch due to similar concerns. The Kenyan police recently raided the Nairobi center of Worldcoin, confiscating documents and machines.

Previously, Ethereum’s [ETH] co-founder Vitalik Buterin expressed his thoughts on the project. He said that the privacy and ethical issues raised around the project could be valid. However, he also highlighted the importance of the project’s proof of personhood as it seemed to resolve the spamming problem.

On the other hand, prominent on-chain sleuth ZachXBT had accused Worldcoin of exploiting people from developing countries. ZachXBT said that the project’s verification method could lead to the emergence of black-market accounts.

1/6 My issues with WorldCoin pic.twitter.com/uJxe9fzows

— ZachXBT (@zachxbt) July 24, 2023

The value of WLD rose to $2.15 immediately after its launch on 24 July. However, it has dipped nearly 20% since then. At press time, WLD was trading at $1.75.

Source: WLD/USD, TradingView