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Brazil Restricts World ID Crypto Rewards

Key Takeaways

  • Brazil’s ANPD suspended crypto rewards for Tools for Humanity's iris scans, citing privacy and consent concerns;
  • Financial rewards for iris scans risked pressuring individuals, which violates Brazil’s data laws;
  • Similar regulatory challenges for World ID emerged in Germany over biometric data use.

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Brazil Restricts World ID Crypto Rewards

Brazil’s National Data Protection Authority (ANPD) ordered Tools for Humanity (TFH), the company behind the World Worldcoin $0.8492 ID project, to stop offering crypto rewards in exchange for iris scans.

This decision followed an investigation that began in November 2024 after the launch of World ID Orb verifications in the country.

The project, co-founded by OpenAI CEO Sam Altman in 2019, uses a device called “the orb” to scan irises. The aim is to build a global digital identity and financial system.

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ANPD found that providing financial incentives might influence people’s decisions and compromise their ability to give proper consent—and Brazil’s laws require that consent for sensitive data use must be freely given and informed. Offering money or other rewards risks pressuring people, especially those in vulnerable situations, to agree without fully considering the consequences.

This can be harmful given the irreversible nature of biometric data collection and the fact that once such data is collected, it cannot be fully deleted.

In a statement sent to BitDegree, World commented:

World is compliant with all laws and regulations in Brazil. Recent inaccurate reports and social media activity has resulted in the ANPD having false information. We are in contact with the ANPD and are confident we can work with them to ensure the continued ability of all Brazilians to fully participate in the World network. We are committed to continuing to offer this important service to all Brazilians.

This is not the first time the World ID project has faced regulatory challenges. In December 2024, German authorities also raised issues with its handling of biometric data. They required the project to comply with European Union data protection laws.

Meanwhile, South Korea's Financial Services Commission (FSC) recently delayed a decision on corporate involvement in crypto trading. What did they say? Read the full story.

Aaron S. Editor-In-Chief
Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has written scientific papers analyzing the differences between Western and Collective forms of capitalism in the post-World War II era.
With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.
Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.
Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.

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