Cambridge Analytica involved in the Facebook’s data mining scandal has been found to be connected with a cryptocurrency firm with ties to former gangster of Asia. The company was also planning an ICO to gather user’s data and then sell it to advertisers.
Cambridge Analytica involved with gangster connected crypto firm
Recently, it came out in the open that the data mining company at the center of the Facebook data privacy scandal, Cambridge Analytica has been involved with cryptocurrency firm that is backed by the most notorious former gangster of Asia.
Cambridge Analytica, a British company has been accused of and widely criticized for abusing the data of about millions of Facebook users. Now, the company has been linked with the ex-14k triad gang leader, Wan Kuok-koi that further raises the concern of lack of regulations in the booming cryptocurrency market.
It has been revealed by the former Cambridge Analytica employee, Brittany Kaiser that the data mining company retained the Dragon Corporation as their client. Also known as the Macau Dragon Group, the company was helped by Cambridge Analytica to publicise its $500 million ICO.
Now, with the link of a former crime boss with the company behind the Facebook data mining scandal, has prompted the authorities of Macau to pose a warning about the possible fraud and criminal activities and further reminding its residents that cryptocurrencies are not a legal tender.
An ICO to store user’s data & then selling it to advertisers
Cambridge Analytica and Facebook, both the companies are going through the allegations of gathering and using the personal data of users without their permission. The controversy around the massive data scandal of Facebook is on high as the new developments keep on adding to the case. A few days back it has been revealed that Cambridge Analytica used a number of questionnaires to gather the data from Facebook users.
The US and UK authorities investigating the matter of this data being used in US presidential election of 2016 and the British referendum on leaving the EU.
Reportedly, Cambridge Analytica was also preparing the launch of its own Initial Coin Offering to raise over $30 million. The company hasn’t confirmed if it’s still on with its ICO plans but they are very much on board with blockchain for security purposes. This platform will give its users the control of their own information.
The ICO that the company was planning was to build a system that would store users’ personal information and then sold it to advertisers which if had to come fruition would have been a nightmare for the general public, with their data into the hands of thousands of advertisers without even their knowledge.
The centralized social platform like Facebook collects and stores the user’s data centrally which doesn’t provide the users the benefit of using their own data as they deem fit. Blockchain and cryptocurrency industry can certainly provide help in this scenario. Mark Zuckerberg, the CEO of Facebook, also mentioned that encryption and cryptocurrency can solve these issues by placing the power in user’s hands. However, as much as this shift is good for users, it isn’t profitable for Facebook.
How drastically Cambridge Analytica’s planned ICO do you think would have impacted the users?
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I am an associate content producer for the news section of Coingape. I have previously worked as a freelancer for numerous sites and have covered a dynamic range of topics from sports, finance to economics and politics.