The Worldcoin is a less known project that is headed by the CEO of OpenAI, Sam Altman. It has received attention across the world and has been associated with privacy issues. Since it aims at implementing a decentralized system for identity verification through the use of scanning of the iris, the project is facing criticisms and criticism from several countries.
Nevertheless, Altman is confident that Worldcoin is to become an indispensable player in the transforming digital economy. It is evident that the company’s vision of giving everyone a basic income through its crypto-currency still raises issues to privacy, security, and ethics.
What is Worldcoin?
Worldcoin is a digital identification created by Sam Altman with the vision and objective to have a decentralized global ID. For the purpose of identification, the project provides a participant a small amount in cryptocurrency for biometrics scan of the iris. According to Altman and his team, this biometric data along with the use of the blockchain can be useful in fighting fraud, identity check, and potentially useful in delivering Universal Basic Income in the future.
In order to access it, the user must undergo an iris scan by using an eye scanner called “The Orb. ” Once the user completes the scan, he is rewarded with a Worldcoin token that can be used as a currency.
International Pressure and Legal Issues
Regulations and privacy concerns have raised an eyebrow to Worldcoin’s method across the world. Cynics have been concerned by the iris scanning data, asserting that such data could be used, embezzled or invaded. Skeptics also note that there is probably going to be a high likelihood of surveillance and monitoring in exchange of money to individuals, particularly from third world countries.
In Germany, it has come under the gaze of a regional regulator called the Bavarian State Office for Data Protection Supervision, which is trying to decide how well Worldcoin’s work adheres to the data protection laws of the European Union, and particularly Germany, which means that Worldcoin has to deal with the EU’s General Data Protection Regulation. Other nations, including Kenya where the project stopped recently to allow for reform, have been concerned about the legal fraternity of the use of biometric data.
However, these are some of the regulatory hurdles that Worldcoin has had to face as it conquers more markets. The leadership of Sam Altman and his team have time and again expressed their concerns towards the privacy of individuals whose data is sampled, insisting that the information collected is anonymized and saved in a secure place. But, it has not helped to lower anxiety levels that are now being felt by both privacy campaigners and legislators.
Future of Worldcoin As Regulation Gets Tighter
This is the pressure and opposition the Worldcoin may continue receiving as it grows, despite the advantages of the project. Some have pinpointed Worldcoin’s threat of turning into an identity verification network for the globe as a major issue to personal privacy. Also, the application of biometric data for the distribution of the virtual currency through the universal basic income model can also question the relations between the corporation and common people.
Worldcoin’s leadership, however, continues to be positive on the prospects of this project to transform the face of the digital asset ecosystem. Globally, people are in need of a digital identification method, and Sam Altman has packaged Worldcoin as the one that can fit the existing gap. He is of the view that a decentralized structure of ID will be effective in minimizing cases of fraud, enhance equitable allocation of resources and birth new economic opportunities.
Altman also discusses that the future is not going to be easy. Since many countries are starting to regulate cryptocurrencies, non-fungible tokens, and Decentralized Identity, these issues will become relevant to Worldcoin, which has not yet answered questions about the anonymity of users, data protection, and openness. Steven explains that while there are certain challenges with the regulation on the aspect of Worldcoin, if tackled, the company could bring a drastic change to the global economy. Although, neglecting privacy issues could result in more resistance and even litigation in some regions.
