Scanning the iris in exchange for cryptocurrency

Worldcoin, a company co-founded by Sam Altman, CEO of OpenAI, proposes an intriguing and controversial system: scanning people’s irises in exchange for cryptocurrencies. The idea is to create a unique digital identity and verify the authenticity of users on a global network.

With more than 100 million registered users, this proposal raises followers but also serious concerns about the privacy and security of biometric data.

The promise of a single digital identity

By: Gabriel E. Levy B.

Since its founding in 2019, Worldcoin has set out to transform the concept of digital identity. Using advanced technology, the company scans users’ irises to create a unique ID, a solution that promises to reduce fraud and improve security in an increasingly digital world.

The iris, with its complexity and uniqueness, provides an almost foolproof means of identification, avoiding common problems in traditional security systems, such as duplication of documents or identity theft.

Worldcoin’s technology is based on devices known as “Orbs,” which are portable spheres designed to scan a person’s iris within a few seconds.

This process generates a cryptography of their biometric identity that is stored on the blockchain, ensuring that each individual can be uniquely identified without the need to share sensitive personal data.

The promise is a network where each person has a single digital identity, facilitating more secure transactions and eliminating multiple false records.

According to Forbes, this technology has the potential to revolutionize the way we interact online, ensuring that each individual has a single, verifiable digital identity.

The implementation of this system could mean the end of multiple logins and passwords, facilitating universal and secure access to digital and financial services, something that is particularly promising in areas with low banking penetration.

However, concerns have not been slow to arise.

The Spanish Data Protection Agency (AEPD) and other international bodies have expressed concern about the risks involved in the mass collection of biometric data.

This data, unique and unalterable, could be subject to theft or misuse, generating irreversible consequences for the affected individuals. In addition, the possibility of this data being used for surveillance or control purposes by governments or private entities adds an additional layer of concern.

Protecting this data in an era of cyberattacks and vulnerabilities in digital systems is a daunting task that requires robust security measures and strict regulations.

The controversy behind iris scanning

Worldcoin’s proposal has been the subject of research and criticism in several countries. In Spain, the Federation of Consumers and Users (CECU) has warned about the dangers of sharing biometric data, stressing that, unlike a password, an iris cannot be changed if it is compromised. According to CECU, biometric data, once stolen or impersonated, represents a permanent risk to the individual’s privacy.

 An uncertain future

Worldcoin’s response to these concerns has been to ensure that no personal information is required to register and that the data collected will not be sold. However, critics argue that, even without the sale of data, the mere collection and storage of biometric information poses serious risks. If data were hacked, affected individuals would have few options to protect their identity.

Worldcoin’s dilemma reflects a broader problem in the digital age: how to balance innovation with privacy protection. While technology advances by leaps and bounds, laws and regulations often lag behind, leaving citizens vulnerable.

 The expansion and impact of World App

World App, Worldcoin’s first native wallet, has reached a significant milestone with 10 million users in less than a year since its launch in May 2023. This app allows users to authenticate their identity with World ID, execute global transactions without fees, and participate in crypto token swaps. Currently, the app serves users in more than 160 countries, with 2 million of them interacting daily and facilitating more than 70 million transactions.

Tiago Sada, Product Manager at TFH, expressed his excitement about this achievement, highlighting the tangible impact of the app. “Reaching this milestone demonstrates the potential to make Ethereum’s foundational technologies accessible and easy to use,” Sada stated. World App seeks to simplify interactions with cryptocurrencies, focusing on the essential features of Worldcoin and Ethereum.

In Kenya, a World App user bought a goat using Worldcoin, a story that captured the attention and support of the crypto community. This led to donations that allowed the user to acquire more livestock, illustrating the transformative potential of cryptocurrency. Sada commented, “Stories like this vividly illustrate the transformative potential of cryptocurrency. Our vision is to enable similar empowering experiences on a global scale.”

Worldcoin in Latin America

In Chile, Worldcoin scanning points have popped up in several cities, arousing both interest and suspicion.

The response of the National Consumer Service (SERNAC) has been to initiate inspections to ensure that the company complies with local regulations. In a global context, each country approaches the issue differently, reflecting its own concerns and regulatory frameworks.

In Colombia, Worldcoin’s arrival in the country has sparked both enthusiasm and skepticism.

The newspaper El Tiempo of this country highlights that, although iris scanning technology can offer innovative solutions for authentication and security, it also poses considerable challenges in terms of privacy and data protection. The collection and storage of sensitive biometric data should be handled with the utmost caution to avoid potential abuses or security breaches.

Currently, the Superintendence of Industry and Commerce has expressed its concerns and is investigating the company.

The company offers the verification service only in Medellín and Bogotá.

in Argentina, the company faces legal complaints. The media Infobae reports that these measures reflect a growing distrust on the part of civil society organizations towards initiatives that involve sensitive personal data, especially when they are not clearly regulated, however the application has caused a furor among citizens who turn to Buenos Aires to validate their identity waiting up to weeks for a turn and for now the government of the libertarian Milei seems not to be worried.

Global responses

The situation in Kenya is perhaps the most sensitive, where authorities have suspended Worldcoin’s activities due to concerns about data security.

In Germany and France, investigations continue, while the controversy over Worldcoin is not unique. Other technology initiatives, from facial recognition to artificial intelligence, face similar criticism.

The position of the academics:

Yuval Noah Harari, in his book “21 Lessons for the 21st Century”, highlights the importance of regulating these emerging technologies to protect the privacy and autonomy of individuals. Harari warns that, without proper regulation, biometric and artificial intelligence technologies could lead us to a future where individual freedoms are compromised.

The ability of these technologies to collect and analyze data on an unprecedented scale poses significant privacy risks, by turning individuals into data that is easily exploited by corporations and governments.

Other academics also share this concern. Shoshana Zuboff, in her work “The Age of Surveillance Capitalism”, argues that the massive collection of data by tech companies creates an imbalance of power, where corporations can predict and manipulate human behavior without people’s knowledge or consent.

Zuboff stresses the urgent need for legislation that protects citizens from constant exploitation and surveillance.

In addition, Helen Nissenbaum, a professor at Cornell University, in her studies on contextual privacy, emphasizes that technologies must be designed taking into account the context in which they are used, ensuring that the data collected is not used outside of its original purpose.

Nissenbaum argues that the lack of specific regulation for new technologies can lead to significant abuses and erode public trust.

These views reflect a growing academic concern about the need to establish robust legal and ethical frameworks that ensure that emerging technologies are used in ways that respect and protect the fundamental rights of individuals.

In conclusion, Worldcoin sits at the intersection of innovation and controversy, offering a glimpse of the digital future that can be both promising and dangerous.

The central question lies in how we manage and protect our data in a world where technology advances faster than the laws that should regulate it.

The balance between progress and privacy will be crucial in determining the success of initiatives like Worldcoin in the years to come.