The National Consumer Service of Chile (Sernac) issued a measure against the company previously known as Worldcoin, now World, to cease its operations in the country.
The action It is based on the prohibition of scanning the iris of Chileans to register them, a practice that the supervisory body considers that could be overstepping the limits in the protection and use of personal data.
As a result of this situation, Sernac filed a complaint against Optimistic SpA, the company through which World operates in Chile. for at least three violations of the Consumer Law. The decision to request to cease operations is based on the perception that World’s activities could compromise consumer privacy.
World, a company that scans people’s irises in exchange for payment in cryptocurrencies, has been under the scrutiny of Sernac since it announced its intention to expand its operations. The news that they would carry out scans not only in fixed spaces but also at home, using the Rappi platform for these servicesalerted the regulatory body.
In response, Rappi clarified its position: “Rappi and World have signed a pre-agreement (or Memorandum of Understanding) to develop a pilot test of an on-demand proof of humanity service which will be developed in Argentina during the first quarter of next year. . The development of said service in Chile is not planned,” the company explained to Sernac.
Sernac’s measure is framed in the need for companies to clearly inform the purposes for which the requested personal data will be used. According to the Chilean entity’s investigation, World did not comply with these requirements. The company, now identified as World, recently announced the introduction of a second generation of iris scanners, known as Orbs, which has raised privacy concerns.
“It is important to highlight that Sernac keeps World in its sights, since part of the current requirements in the regulations indicate that when companies request any type of personal data, people must be expressly informed for what purposes it will be used,” the organization noted. This is in addition to the complaint made in August 2024 against Optimistic SpA for using iris scanning, even on minors, without the consent of their parents or guardiansrecalled the regulatory office.
Iris scanning may violate laws chilean
World, which aspires to be a valid identity accreditation method for different markets through its application, does not have the endorsement of Sernac. That entity considers that iris scanning could violate aspects of the Consumer Law and the Personal Data Protection Law. The regulations require that the use of biometric data, email and others, is limited and is not understood as a “blank check” for extensive use in other areas.
As reported, the regulator has received numerous complaints related to Worldcoin, which now operates under the name World, especially during the last few months.
Among these, a consumer stands out who expressed: “Worldcoin stores data such as facial recognition, without the possibility of deleting it. This is concerning because if the company is hacked, I can’t change my biometrics like I would a password. “Anyone who has access to this data could cause perpetual damage,” as seen on the Sernac website.
Worldcoin, now World, has previously been flagged by authorities in several countries in Latin America and Europe due to these practices, showing widespread concern about privacy and informed consent in the use of biometric data.
As reported by CriptoNoticias, several countries have decided to expel Worldcoin, for issues related to privacy and data management.
In Spain, the Spanish Data Protection Agency (AEPD) demanded that World immediately cease the collection of personal data and stop the use of information already collected. The same thing happened in Hong Kong, where the Office of the Privacy Commissioner for Personal Data (PCPD) inspected World’s offices due to inappropriate management of iris scan data and issued warnings about sharing biometric data without proper consent.
On the other hand, in Kenya, authorities banned World’s operations over concerns about the legality and ethics behind the collection of iris data, especially the lack of transparency and informed consent in the selection of users from certain geographic areas.
These actions by various governments underscore a global concern about how World manages personal data, particularly biometrics, questioning the legality of its international operations.
This article was created using artificial intelligence and edited by a human Editor.
