Brazil’s data protection agency has upheld its decision to restrict cryptocurrency compensation tied to the World ID project, citing user privacy concerns. 

The National Data Protection Authority (ANDP) rejected a petition by World ID developer Tools For Humanity to review its ban on offering financial compensation to users who provide biometric data through iris scans, the agency said in a March 25 announcement.  

ANDP will “maintain the suspension of the granting of financial compensation, in the form of cryptocurrency (Worldcoin – WLD) or in any other format, for any World ID created by collecting iris scans of personal data subjects in Brazil,” a translated version of the announcement reads. 

The company faces a daily fine of 50,000 Brazilian reais ($8,800) if it resumes data collection activities. 

Cointelegraph reached out to Tools for Humanity but had not received a response at the time of publication.

World ID verification in Brazil was short-lived, with the ANDP banning data collection more than two months after it was launched in the country. Source: Worldcoin

ANDP’s investigation into World, formerly known as Worldcoin, began in November of last year amid concerns that financial rewards could compromise users’ ability to consent to offering sensitive biometric data. 

The controversial “World ID” is created when users agree to iris scans, which generates a unique digital passport that can authenticate humans online. 

As Cointelegraph reported, Tools For Humanity was ordered to stop offering services to Brazilians as of Jan. 25. 

Related: Blockchain identity platform Humanity Protocol valued at $1.1B after fundraise

Race for digital identity solution heats up

Although World ID has run afoul of Brazilian law, the use of digital identification methods is growing in other markets due to the rise of AI deepfakes and Sybil attacks.

The rise of bots and AI is also watering down online discourse on social media platforms such as X and Facebook. As Cointelegraph reported, up to 15% of X accounts are believed to be bots. 

Research from blockchain analytics firm Chainalysis also showed that generative AI is making crypto scams more profitable by enabling the creation of fake identities. 

Some companies are attempting to create digital identity solutions without triggering privacy concerns and regulatory crackdowns. Earlier this year, Billions Network launched its own digital identity platform that doesn’t require biometric data. 

The platform is based on a zero-knowledge verification technology known as Circom and has already been tested by major financial institutions such as HSBC and Deutsche Bank.

Magazine: 9 curious things about DeepSeek R1: AI Eye

Cboe BZX Exchange, a US securities exchange, has requested permission to list a proposed Fidelity exchange-traded fund (ETF) holding Solana (SOL), according to March 25 filings. 

The request now sits with the US Securities and Exchange Commission, which must approve the filing before trading of the Fidelity Solana Fund can commence on the exchange.

This is the latest in a spate of filings with the federal agency by exchanges and fund sponsors seeking to launch ETFs holding SOL and other cryptocurrencies. 

On March 12, Cboe filed to list another spot SOL ETF sponsored by asset manager Franklin Templeton.

Source: James Seyfart/Bloomberg Intelligence

Related: Solana CME futures tip impending US ETF approvals — Exec

Numerous filings

Cboe’s filing comes after asset manager Volatility Shares launched an ETF using financial derivatives known as futures to track the performance of spot SOL. 

Launched in March, Volatility Shares Solana ETF (SOLZ) and the Volatility Shares 2X Solana ETF (SOLT) are the first ETFs providing US investors with exposure to Solana’s native token. The SOLT ETF tracks SOL’s performance with 2x leverage. 

Analysts at Bloomberg Intelligence peg the odds at 70% that US regulators approve a spot SOL ETF this year, according to a February post on the X platform. 

Other asset managers seeking to list spot SOL ETFs include Grayscale, VanEck, 21Shares, Canary and Bitwise, according to Bloomberg Intelligence.

On March 17, the Chicago Mercantile Exchange (CME), the US’s largest derivatives exchange, launched SOL futures contracts. Experts say this is further indication that spot SOL ETFs will soon be approved in the US.

Roughly a dozen asset managers are seeking the SEC’s approval to launch altcoin ETFs in the US. The proposed ETFs for altcoins range from Litecoin (LTC) and XRP (XRP) to Dogecoin (DOGE) and Official Trump (TRUMP).

Issuers are also asking for the SEC to approve changes to existing ETFs, including allowances for staking, options and in-kind redemptions. 

The SEC eased its stance on cryptocurrency after US President Donald Trump began his second term in January. 

Under former President Joe Biden, the SEC brought upwards of 100 lawsuits against crypto firms, alleging various securities law violations. In 2024, the regulator greenlighted spot Bitcoin (BTC) and Ether (ETH) ETFs but stymied proposed ETFs tied to other cryptocurrencies.

Magazine: Memecoins are ded — But Solana ‘100x better’ despite revenue plunge

Former US Securities and Exchange Commission (SEC) member Paul Atkins disclosed combined employment assets of at least $327 million with his wife before a scheduled confirmation hearing with the US Senate Banking Committee.

According to a financial disclosure report made public by the US Office of Government Ethics on March 25, Atkins and his spouse, Sarah Humphreys, held up to a combined $327 million worth of assets, in part through their respective stakes in the prospective SEC chair’s consulting firm Patomak Global Partners and Tamko Building Products.

Sarah and her family members reportedly control a 75% stake in the roofing business founded by her grandfather.

Atkins personally disclosed up to $78.8 million in total employment assets — many of them up to $15,000 each — between $25,000,001 and $50 million in membership interest at Patomak, between $250,001 and $500,000 in call options at the real-world asset tokenization platform Securitize, and between $50,001 and $100,000 at financial technology company Pontoro.

If confirmed as an SEC commissioner, Atkins stated he would resign as CEO of Patomak and divest his membership interest, as well as divest his stock options at Securitize. 

The financial disclosure was made public before Atkins was scheduled to answer questions from US lawmakers in the Senate Banking Committee on March 27 for his nomination as an SEC commissioner. Massachusetts Senator Elizabeth Warren, ranking member on the committee, called on Atkins to be prepared to answer questions related to his “deep involvement with FTX and other high-paying crypto clients.”

Related: What to expect at Paul Atkins’ SEC confirmation hearing

Atkins could also have some Republican allies on the committee and face some softball questions during his hearing. The prospective SEC commissioner previously met with Wyoming Senator Cynthia Lummis, who told Cointelegraph she expected he would “work quickly to provide regulatory certainty for the digital asset industry.”

Conflicts of interest regulating digital assets?

In addition to Atkins saying he would divest interests potentially causing conflicts of interest regulating the crypto industry, other government officials in the Trump administration have claimed to take similar steps. David Sacks filed a notice on March 5 suggesting that his venture capital firm sold more than $200 million in crypto and related stocks ahead of assuming his role as the White House AI and crypto czar.

President Donald Trump also faces criticism from lawmakers and figures in the crypto industry due to his family’s involvement with the firm World Liberty Financial and the launch of his memecoin in January.

Atkins’ March 27 hearing will mark the first time US lawmakers will consider his nomination since Trump put his name forward as a potential replacement to former SEC Chair Gary Gensler in December. Commissioner Mark Uyeda became acting chair of the agency following Gensler’s departure on Jan. 20.

Magazine: Trump’s crypto ventures raise conflict of interest, insider trading questions