Worldcoin – NFTexplained.info

Sam Altman, the CEO of OpenAI, is spearheading a groundbreaking project known as Worldcoin—a cryptocurrency designed to create a global digital identity system and potentially lay the groundwork for Universal Basic Income (UBI). Backed by major investors like Andreessen Horowitz, Worldcoin’s mission is ambitious: to provide every person with a secure, verifiable digital identity while addressing key economic and social challenges posed by the rise of AI and automation. But how does Worldcoin plan to achieve these lofty goals? Let’s explore its unique approach, the role of its Orb device, and the controversies surrounding it. Worldcoin is more than just a cryptocurrency; it's designed to solve the problem of digital identity verification. With the proliferation of bots and fake accounts online, verifying that someone is a real, unique human being has become increasingly important. Worldcoin tackles this through its innovative biometric technology in the form of an Orb, which scans the iris of the eye due to the unique entropy it contains; each iris is tied to a digital wallet (or digital passport) and ensures that digital identities are tied to real people. The ultimate goal is to create a system where users are able to receive Universal Basic Income (UBI), especially in a world where automation could displace millions of jobs. If you would prefer to learn by watching, please check out our YouTube video linked here. The Orb: Worldcoin’s Identity Verification Tool Sam Altman believes the most important aspect of UBI is verifying real people to ensure that no bots break the system and receive funds - to solve this problem Worldcoin created the Orb, a device used to scan a person’s iris—the colored part of the eye. Unlike traditional methods of identity verification, like government IDs or Know Your Customer (KYC) processes, the Orb ensures secure and private identity authentication through biometric scanning. Therefore no social security number, date of birth, or other personal information is needed. That is Altman's unique view on protecting personal data. Why the iris? The iris is one of the most reliable forms of biometric identification because its unique patterns are incredibly difficult to fake. The Orb uses this to create an encrypted iris code, which serves as proof of personhood without storing any actual iris data. Once scanned, the individual’s iris code is linked to their Worldcoin wallet/ passport, ensuring that their identity is verified while keeping their personal information secure. This system helps address the problem of bot farming, where fake accounts claim rewards in traditional crypto airdrops. If you think this sounds a little dystopian, you among many others have wondered: why would anyone do this? Why Do People Scan Their Eye with the Orb? One of the main incentives for scanning your iris with the Orb is to receive Worldcoin tokens. These tokens are distributed as part of Worldcoin’s initial rollout, giving users a tangible reward for verifying their identity. At present, Worldcoin verified unique humans receive one Worldcoin token per week and a token for completing the initial scan; that is dependent upon the location - U.S. users are not eligible to receive tokens at present. In less economically developed countries, these rewards can serve as an additional source of income, making participation even more appealing. However, we will note again that U.S. users are currently not eligible for token rewards due to regulatory issues. My Experience Getting My Iris Scanned for Worldcoin in Palo Alto Image taken from NFTexplained in the Palo Alto location I recently had the opportunity to get my iris scanned at one of the few Worldcoin locations available in the U.S., located in Palo Alto, California. The entire process was surprisingly quick, taking only about 30-45 seconds. I stood about an arm’s length away from the Orb, similar to the distance you may unlock your iPhone with Face ID with - and just looked into it (the same way I would opening my iPhone). The experience was intriguing, though I couldn’t shake the feeling of stepping into a dystopian future. The Orb, a futuristic device meant to scan irises and generate unique identity codes, was casually sitting on a desk, while the team managing it seemed preoccupied with other projects. It wasn’t exactly what I had imagined for such groundbreaking technology. The people operating the Orb claimed/explained that they had gone through extensive training to manage the device properly. They also mentioned that they receive a commission each time someone completes a scan, similar to how affiliate marketing works. During our conversation, they noted an interesting trend: when cryptocurrency prices surge, appointments for iris scans are fully booked. However, during the current bear market, they are seeing only about one person a day. That was one surprising aspect; the lack of foot traffic. When I checked appointment availability over several days, all time slots were wide open, suggesting that not many people were rushing to get their eyes scanned. This, coupled with the fact that there are very few locations in the U.S. where you can participate, made the experience feel somewhat niche and under-the-radar for now. If you're interested in finding out where to scan your iris for Worldcoin, you can download the Worldcoin app, which provides information on the nearest Orb locations. This strange blend of innovation and eeriness left me questioning how soon this technology will gain widespread adoption, especially as Worldcoin’s ambitious goals aim to reshape identity verification and potentially distribute Universal Basic Income worldwide. Worldcoin’s Long-Term Goal: Universal Basic Income The long-term vision of Worldcoin is to create a universal digital identity system that enables the distribution of Universal Basic Income. As AI continues to disrupt industries and economies, many experts believe that traditional jobs may become scarce. Worldcoin aims to offer a solution by providing every verified human with a digital wallet that could one day be used to distribute UBI on a global scale. This would act as a financial safety net, helping to mitigate the societal impacts of large-scale automation. By ensuring that each person is unique and not a bot, Worldcoin addresses key issues that have plagued token distribution systems in the past. Its use of biometric data, however, has sparked debates about privacy, ethical concerns, and the potential for misuse of personal information. Controversies and Challenges Despite its bold vision, Worldcoin has faced several hurdles. Privacy advocates have raised concerns about the storage of biometric data, even though the company assures that only encrypted iris codes are stored, not the actual iris scans. Furthermore, reports of tampered Orbs and questions around the security of the system have cast doubts on its robustness. In some countries, like Kenya and France, Worldcoin has encountered regulatory scrutiny. These governments are investigating whether the project complies with local laws, particularly around data privacy and ethical standards. These challenges highlight the complexities of building a truly global identity system while maintaining public trust. The Future of Worldcoin Worldcoin’s mission is undeniably ambitious: to create a global digital identity system and lay the foundation for Universal Basic Income. While the use of biometric data to prove personhood may seem dystopian, it also offers a compelling solution to some of the world’s most pressing issues—especially as AI continues to advance. The project’s success will depend on its ability to navigate privacy concerns, regulatory hurdles, and technical challenges. With the backing of prominent figures like Sam Altman and investment from top venture capital firms like a16z, Worldcoin is well-positioned to make an impact. However, only time will tell if it can live up to its promise without compromising security and ethical standards. FAQs About Worldcoin & the Orb What is Worldcoin? Worldcoin is a cryptocurrency project that seeks to create a global digital identity system and lay the foundation for Universal Basic Income by verifying unique human identities using biometric data. What is the Orb? The Orb is a biometric device developed by Worldcoin that scans a person’s iris to create an encrypted identity code, ensuring secure and private identity verification without storing personal data. How do you scan your eye with the Orb? Scanning your eye with the Orb is simple: you look into the device, and it scans the unique patterns in your iris to generate a secure, encrypted iris code linked to your Worldcoin wallet. Why do people scan their eyes for Worldcoin? People scan their eyes with the Orb to verify their identity and receive Worldcoin tokens. In developing countries, these tokens can serve as an additional source of income. What is the long-term goal of Worldcoin? Worldcoin aims to create a global digital identity system to support the distribution of Universal Basic Income as AI and automation disrupt traditional jobs. I hope you found this article informative and continue to stay informed with NFT Explained. You can also find us on YouTube! If you wish to support our educational mission and protect your digital assets, please consider collaborating with our partners by purchasing a Ledger hardware wallet!