La Rioja authorities cite privacy fears, one Worldcoin location ordered to close
While interest in the Worldcoin (WLD) cryptocurrency project grows throughout Latin America, a second province in Argentina has opened an investigation into the project’s operations.
Tiempo Argentina reported that authorities in the province of La Rioja are “moving against” the operator amid fears it is “taking advantage” of “growing poverty.”
One of the company’s “locations” in the province has been shut down, according to an announcement made by the province’s Cybercrime-fighting Executive Unit.
According to reports, the unit is also attempting to stop Worldcoin from conducting business in the province, following comparable actions in Buenos Aires.
Worldcoin Operations Under the Spotlight in Argentina?
It is also said that the unit is “seeking to prohibit” Worldcoin-related activities. It has also accused the company of “collecting extremely sensitive information such as iris patterns, which are unique to every person.”
The company’s operations “represent a significant risk” to La Rioja residents’ “security and privacy,” according to the unit.
The investigation follows Argentina’s extraordinary WLD adoption rates. Executives involved in the project discussed making Argentina the center of operations for the region in July.
In the coming months, the company has stated that it plans to open 50 Worldcoin centers in “more than 10 cities throughout the country.”
Additionally, the business plans to bring on about 50 new workers from Argentina. To allay concerns about privacy, its top officials have met with President Javier Milei and other senior officials of the central government.
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The provinces of Argentina, however, seem concerned. The Province of Buenos Aires regional government has opened multiple investigations into Worldcoin’s operations.
Lawmakers Call for Action
Legislators in Buenos Aires have demanded legislation pertaining to WLD policing, and organizations claim that their client contracts contain “abusive [exploitative] clauses.”
Additionally, Worldcoin operators run the risk of paying a fine of up to $1.15 million, according to Buenos Aires authorities.
According to the same media source, “at least three more” provinces in Argentina are “planning” to open investigations.
The head of the unit, Silvina Santángelo, stated that the provincial constitution of La Rioja “incorporates fourth-generation rights,” one of which is “the protection of citizens’ personal data.”
🔵 Worldcoin: el escaneo del iris se expande por el país.
— Tiempo Argentino (@tiempoarg) March 25, 2024
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“The Worldcoin Orb, the device that performs scans […], represents a great risk when it comes to delivering […] information because the Orb is much more effective than the fingerprint when it comes to verifying a person’s identity.”Silvina Santángelo, Head of La Rioja’s Cybercrime-fighting Executive Unit
Unit Says It Is Worried About Minors
Santángelo also claimed that “unfortunately, some people who went to have their irises scanned came with their children.” She said:
“This is very serious because we are talking about minors. Worldcoin usually goes to places where there is greater need and where people have less information about what they are asking for. And they take advantage of the economic need of [poorer people].”
Authorities in Chile voiced similar concerns earlier this year, leading to the Worldcoin operator later pledging to verify the ages of the people who scan their irises at its centers.
According to media reports this year, “thousands” of Argentineans have visited Worldcoin locations.
An unofficial Worldcoin reselling industry has also emerged in Argentina. This has seen many WLD recipients swap their coins for fiat handouts, often at “50% of their market value.”