Parity, the wallet and blockchain provider, is shutting down its PICOPS platform effective May 24, 2018, due to complications stemming from the new EU GDPR guidelines. The company announced the decision in a blog post on its website on May 18.
PICOPS: The Latest Casualty of the New EU GDPR
The General Data Protection Law (GDPR) of the EU is causing problems for blockchain and cryptocurrency. Part of the fundamental principle of the blockchain is the immutability of the data stored in it. Right to deletion of data privilege certainly throws the proverbial spanner in the works. Already, LocalBitcoins has disabled multiple accounts due to complications from the GDPR.
PICOPS is the latest casualty of the EU regulation. PICOPS was an important platform for many Ethereum-based ICOs. The service allowed easy KYC and AML compliance for ICOs by validating the owner of an Ethereum address. Unfortunately, the service can no longer continue due to specific interpretations of personal data laws in the GDPR framework. Commenting on the decision to discontinue the service, a statement on the company’s website said:
We are looking at ways of resolving the uncertainty and making PICOPS compliant with GDPR while keeping it useful. However, as things stand the solutions we have identified restrict the service to a very limited set of features. Because of this, the significant resources required to make PICOPS GDPR-compliant, and the fact that PICOPS is not part of our core technology stack, we have decided to discontinue the service despite overwhelming market needs and demand.
Ethereum co-founder Vitalik Buterin commented on the news, calling it a sad development. PICOPS had, after all, facilitated many ICOs in the Ethereum ecosystem…