China Cracks Down on Worldcoin: Is Your Iris Data the Next Crypto Commodity?
Worldcoin’s biometric gambit faces a regulatory wall—again. Beijing just fired a warning shot across the bow of Sam Altman’s crypto-for-iris exchange scheme. Privacy advocates cheer while speculators scramble.
### The Biometric Backlash Heats Up
China’s latest salvo targets Worldcoin’s controversial eyeball-scanning KYC model. No specifics on enforcement yet, but the message is clear: trade crypto, not cornea data. Even for blockchain, this feels dystopian.
### Regulatory Roulette
Global watchdogs now treat biometric tokens like radioactive waste. Germany, France, and Kenya already slammed Worldcoin’s Orb operators. China’s move? Another nail in the coffin for ‘proof-of-personhood’ gimmicks—unless you think retina scans are the next moonbag.
### The Irony of Decentralized Surveillance
A crypto project harvesting biometrics? That’s like McDonalds selling kale salads. Worldcoin insists it’s building the ultimate Sybil-resistant network. Critics see a Trojan horse—one that could make Cambridge Analytica look like amateur hour.
*Funny how ‘financial inclusion’ always involves selling something.*
What is Worldcoin, and why is it controversial?
Worldcoin, recently rebranded to World, was launched in July 2023 by Tools for Humanity, a tech company co-founded by OpenAI CEO Sam Altman. The project aims to build a global digital identity system called “World ID,” which requires users to verify their identity by scanning their iris using a silver sphere device called the Orb.
In return, users receive the native token tied to the project, WLD (WLD). Worldcoin says its system helps distinguish humans from AI online and expands financial access, while offering a secure and anonymous way to verify identity.
While World promotes itself as privacy-first, it has faced pushback in several regions over how it collects and stores biometric data.
Worldcoin and data privacy concerns
Since its official rollout, World has sparked global controversy due to the nature of its operations. The Kenyan government was the first to ban the project in September 2023, just months after rollout, citing concerns over how it was collecting and using citizen data.
Not long after, the Office of the Privacy Commissioner for Personal Data in Hong Kong ruled that Worldcoin violated the city’s personal data ordinance, posing risks to privacy. Other regions like France, Portugal, Spain, Brazil, and South Korea also raised similar concerns, and the project has been forced to exit some of these markets under regulatory pressure.
Worldcoin defends its operations by claiming biometric data is protected through privacy-preserving technologies like zero-knowledge proofs. In October 2024, the platform underwent a rebrand and launched a new layer-2 network, which it says prioritizes compliance with data protection laws.
Still, questions remain over its biometric data collection and the potential for misuse or unauthorized distribution.
Meanwhile, the WLD token has been in decline. Trading at $0.94 at press time, WLD is down nearly 45% over the past year and 90% from its highest point. The tumble in price has been largely fueled by negative regulatory pressure, and should troubles now emerge from China, the token could face further downside.
