Recently, Nithin Kamath, the founder and CEO of Zerodha, posted a video on LinkedIn discussing the risks of deepfakes in the financial industry. He emphasized the advancements in deepfake technology, making it increasingly difficult to distinguish between real and AI-generated individuals online.

Surprisingly, Kamath explained this point in a deepfake video himself.

However, as deepfake technology improves, verifying whether someone is a real person or artificially synthesized will become more challenging. This challenge will be particularly evident for banks with stricter regulatory requirements during the account opening process.

Introducing World ID 2.0

WorldCoin, supported by Sam Altman, has launched World ID 2.0, a digital passport for the online realm that serves as a unique human identity authentication. It enables people to verify their unique human identity on the internet while protecting their privacy. As an open protocol, it aims to be collectively owned, giving users complete control.

World ID was launched in early 2023, addressing the urgent challenge of establishing human identity proof in the AI era, prioritizing privacy, inclusivity, and openness.

The second version will introduce integrated applications that use World ID to verify online accounts, including integration with major platforms such as Reddit, Discord, Shopify, Minecraft, and Telegram. In this upgrade, World ID will have three levels: World ID Device, World ID Orb, and World ID Orb+. These levels allow for customized verification checks to ensure adaptability to real-world use cases.

Interestingly, World ID 2.0 may be able to address the issue of deepfakes. Like other platforms, World ID can be introduced in government applications and services, such as Digilocker or in banking operations, to ensure increased security and further protect people's identities.

In addition, the second-generation protocol has core enhancements, such as the ability to reset your World ID in the Orb, solidifying its position as the most secure, private, and inclusive human identity proof. To enhance privacy protection, the World ID application can only access one-time numbers derived from your World ID, ensuring a consistent but unlinkable experience across different platforms.

Concerns about World ID

Despite appearing logical in some aspects, there are significant risks to personal freedom and potential government abuse, even when considering World ID as a solution. Do we really want the government to have real-time access to our internet browsing history?

Similar to government-backed digital currencies (distinct from blockchain-based cryptocurrencies), it enables authorities to monitor and record every online financial transaction, and the digital identity system has similar capabilities to scrutinize every click you make online. Furthermore, WorldCoin has stated that it allows governments to use its identity system.

The similarities between World ID and digital currencies are evident, as they enable authorities to track and record every online financial transaction in detail. Similarly, the implementation of digital identity raises legitimate concerns about government real-time access to every online interaction, which has already become possible through UPI.

Striking a balance between enhancing security and protecting individual freedom becomes crucial. World ID 2.0 recognizes the necessity of this delicate balance and aims to provide a solution for deepfakes while respecting individual rights and privacy, offering secure, private, and inclusive proof.