Table of Contents
- Spain has imposed a 3-month ban on the cryptocurrency Worldcoin due to concerns over data privacy violations.
- Under the ban, Worldcoin has been ordered to halt the collection and processing of personal data and to cease using the information already gathered.
- Worldcoin expressed disappointment with the AEPD’s actions, stating that it had been engaged in discussions with the Bavarian data protection authority for over a year regarding GDPR compliance.
Spain has imposed a temporary ban on the cryptocurrency Worldcoin for up to three months due to concerns over data privacy violations. The move marks the latest development in a series of regulatory actions taken against the project, which involves iris scanning in exchange for digital currency.
Details of the Ban
The Spanish data protection agency, AEPD, announced the precautionary measure against Tools for Humanity Corporation, the core developer behind Worldcoin. The agency highlighted complaints it had received, including insufficient information provided to users, the collection of data from minors, and the inability to withdraw consent, among other infringements.
Under the ban, Worldcoin has been ordered to halt the collection and processing of personal data and to cease using the information already gathered. The AEPD emphasized the high risks associated with processing biometric data, which is subject to special protection under the European Union’s General Data Protection Regulation (GDPR).
Unleash the potential of leverage trading! Join Bybit today with our link, complete KYC, and earn up to a $40 bonus on a $100 deposit. Don’t miss out on this exclusive offer; claim your bonus now!
In response, Worldcoin expressed disappointment with the AEPD’s actions, stating that it had been engaged in discussions with the Bavarian data protection authority for over a year regarding GDPR compliance. Jannick Preiwisch, the data protection officer of the Worldcoin Foundation, criticized the AEPD for bypassing established procedures and emphasized the project’s commitment to lawful technology.
Spain Ban an Addition to Worldcoin’s Growing List of Hurdles
The ban in Spain adds to the growing list of regulatory challenges faced by Worldcoin. Earlier this week, South Korea initiated an investigation into the project following similar complaints. This comes after previous investigations in Hong Kong, the United Kingdom, Bavaria, and Kenya, where regulatory bodies expressed concerns over data privacy risks and compliance issues.
Worldcoin’s WLD token experienced significant volatility following the announcement, dropping to $6.08 before rebounding to $7.79 at 10:15 a.m. on Thursday Hong Kong time. The token’s value has been subject to fluctuations amid heightened regulatory scrutiny and ongoing investigations.
With regulatory pressure mounting from multiple jurisdictions, Worldcoin faces an uncertain future as it navigates the complex landscape of data privacy regulations and compliance requirements. The outcome of these investigations will likely have significant implications for the future of the cryptocurrency and its operations globally.
Enhance Your Crypto Trading Skills With Our Legends’ Trading Masterclass
Empower your crypto trading skills with our Legends Masterclass. Sign up now and take advantage of our limited-time discount offer! Join the class today.
