Sam Altman, CEO of OpenAI, continues to push the boundaries of digital identity with his ambitious venture, World. Recently, the project announced a significant $135 million funding boost from heavyweight venture capital firms Andreessen Horowitz and Bain Capital Crypto. This fresh capital injection is earmarked to accelerate World’s expansion both within the U.S. and internationally, despite mounting regulatory challenges in several countries.
World aims to create a global digital ID network built around biometric verification, particularly using iris-scanning technology. This system is designed to provide individuals with a “proof of personhood”—a unique digital identity that could unlock new possibilities for online verification, financial inclusion, and access to decentralized networks. As of now, World reports issuing over 12.5 million World IDs across more than 160 jurisdictions, a testament to its rapid adoption.
The funds raised will fuel the deployment of World’s iris-scanning orbs and expand its infrastructure in key U.S. cities, following plans unveiled earlier this year to operate in six metropolitan areas. The company’s vision is to scale these physical and digital assets globally, forming a comprehensive network that securely ties real-world identities to the digital sphere.
However, this innovative approach to digital identification has stirred controversy. Several governments have expressed serious concerns about World’s business model, particularly its practice of offering cryptocurrency incentives to users in exchange for their biometric data. Critics argue this raises ethical questions around informed consent and data privacy, especially as it involves highly sensitive personal information.
Brazil’s National Data Protection Authority (ANPD) was among the first to take regulatory action. In January, it ordered World to halt its services in the country, asserting that incentivizing biometric data collection via crypto payments violated informed consent laws. Despite appeals, the ban was upheld in March, with World now facing fines of up to 50,000 Brazilian reais (around $8,851) daily should it continue operations in Brazil.
Indonesia followed suit more recently when its Ministry of Communications and Digital (Komdigi) suspended World’s business license in early May. The watchdog cited failures by some of World’s subsidiaries to register as digital asset service providers under the nation’s Electronic System Operator Certificate Registration framework. Komdigi has launched an ongoing investigation, indicating further scrutiny to come.
These regulatory pressures are not isolated. Last December, Germany’s Bavarian State Office for Data Protection Supervision (BayLDA) demanded that World comply with stringent EU data protection standards. Specifically, the regulator required that users must have a straightforward way to delete their biometric data from World’s network, a step crucial for GDPR compliance and protecting user privacy.
Despite these hurdles, World’s leadership remains committed to the project’s growth. The recent funding round from prominent venture capital firms demonstrates confidence in World’s long-term potential to reshape how identities are verified and managed digitally. Still, the ongoing legal challenges highlight a broader debate around centralized biometric ID systems: balancing innovation with privacy, ethics, and governmental oversight.
As World scales its network and navigates complex regulatory environments worldwide, the project stands at a pivotal crossroads. Its success may hinge not only on technological innovation but also on its ability to earn trust and meet diverse legal standards globally—a challenge that will test the limits of digital identity’s future.
