UK data regulator, the Information Commissioner Office (ICO), has laid out intentions to probe the newly launched crypto project Worldcoin.
According to a report by Reuters on July 25, the ICO has taken notice of WorldCoin’s launch in the UK and will now proceed to “making further inquiries.”
Launched on Monday, Worldcoin is an Ethereum-based project founded by the CEO of OpenAI, Sam Altman. On the protocol’s official website, it states that Worldcoin aims to be “the world’s largest identity and financial public network.”
To achieve its aim, the network utilizes a digital identification system known as “World ID,” designed to differentiate humans from artificial intelligence online.
Interested Worldcoin users are required to undergo a physical iris scan process at one of the project’s “Orb” locations before being granted a WorldID, prompting much concern over the user’s privacy.
Currently, there are three Worldcoin Orb locations in the UK, all of which are based in London. Globally, the crypto project has already managed to establish 125 orbs locations in 20 countries across 5 continents.
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Worldcoin Under Criticism Over Privacy Concerns.
Although the launch of Worldcoin was greeted with much anticipation and goodwill, the project has also received heavy criticism, especially in relation to its World ID system, which requires users to undergo an in-person iris scan procedure.
Popular crypto lawyer John Deaton, along with many others, believes the process is a threat to users’ freedom and privacy, terming it as “Orwellian.”
In addition, Ethereum Founder Vitalik Buterin also highlighted concerns about the World ID system. In a recent blog post, he stated that an iris scan is likely to reveal more information about users than originally designed.
WLD Declines By 17% A Day After Launch
Following the launch of Worldcoin on Monday, its native token, WLD, had an impressive debut in the market, rising by 88% and hitting a peak price of $3.31. However, the WLD token has since then recorded an overall negative price movement.
Based on data from CoinMarketCap, WLD is currently down by 16.76% in the last 24 hours, trading as low as $1.92 within this period.
According to Worldcoin’s whitepaper, WLD is primarily designed as a utility token for network governance. However, the token also serves as a payment medium for specific services in the World App or other crypto wallets.
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At the time of writing, WLD is exchanging hands at $2.13, with a 0.57% gain in the last hour. The token’s 24-hour trading volume is also up by 34.56% and is valued at $403.35 million. With a market cap of $231.09 million, WLD ranks as the 124th largest cryptocurrency in the market.