Worldcoin, the cryptocurrency company co-founded by OpenAI CEO Sam Altman, is under investigation by Hong Kong’s privacy watchdog for its controversial identification process. The Cayman Islands-based company, boasting a user base of over 3.2 million globally, requires users to undergo an iris scan using a device known as the Orb. This unique approach has triggered concerns from the Office of the Privacy Commissioner for Personal Data, leading to search warrants executed at six locations in Yau Ma Tei, Kwun Tong, Wan Chai, Cyberport, Central, and Causeway Bay.
Expressing apprehension about potential risks to personal data privacy, the privacy commissioner’s office is specifically concerned about Worldcoin’s collection of iris scans in exchange for World ID digital identification and complimentary cryptocurrency. This practice is being scrutinized for potential violations of regulations outlined in the Personal Data (Privacy) Ordinance.
Senior personal data officer Lo Dik-fan stated, “The office is concerned that the operation of Worldcoin in Hong Kong involves serious risks to personal data privacy.” Despite the absence of formal complaints, the office has initiated a proactive investigation, focusing on determining the number of participants in Hong Kong, identifying Worldcoin’s leaders, and assessing the authenticity of users’ consent to biometric data collection.
Worldcoin’s unconventional approach has attracted international attention, with regulators in the UK and Germany also examining the company’s practices. Participants in the scheme receive 25 Worldcoin, valued at approximately HK$19.55 (US$2.50) each, after completing the iris scan. The investigation aims to ascertain whether Worldcoin obtained consent genuinely and how it handles the collected biometric information.
As concerns grow globally regarding the potential misuse of digital currency and the invasion of privacy, the Hong Kong privacy commissioner’s office emphasizes the need for public vigilance when engaging in schemes that collect sensitive personal information. Despite the ongoing investigation, the office currently lacks the authority to suspend Worldcoin’s operations in Hong Kong.
