Worldcoin fined $830,000 for privacy violations in South Korea
South Korea’s Personal Information Protection Commission (PIPC) has fined Tools For Humanity, the company behind Worldcoin (CRYPTO:WLD), 1.1 billion won ($830,000) for breaching privacy laws.
The PIPC stated that Worldcoin failed to adequately inform individuals about the purpose and duration of their iris data collection and did not provide a Korean translation of the biometric consent form until after March 22.
The Worldcoin Foundation was fined 725 million won ($545,000) for mishandling sensitive information and transferring it overseas without proper disclosures.
Additionally, Tools For Humanity received a separate fine of 379 million won ($285,133) for not fulfilling its obligations regarding overseas data transfers.
The regulator pointed out that Worldcoin failed to disclose the destination country for the transferred data and did not provide contact details of the person receiving the information, as mandated by law.
Furthermore, there were no measures in place for users to request the deletion of their iris data.
Tools For Humanity also failed to properly age-verify users under 14 until April 2024.
Despite the penalties, the PIPC has not banned Worldcoin from collecting sensitive data in South Korea, as long as it remedies these issues.
The investigation into Worldcoin's data handling practices started in February 2024.
Worldcoin assigns “World IDs” to users who verify their identity by scanning their irises through an Orb device, aiming to protect against risks posed by artificial intelligence.
Following the decision, Tools For Humanity said it “welcomes” the PIPC’s ruling, noting that the issues have been addressed and its operations now comply with South Korea’s Personal Information Protection Act.
Worldcoin currently has over 6.7 million verified World IDs across more than 160 countries, according to The Block.
At the time of reporting, the Worldcoin price was $2.09.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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