EddieJayonCrypto
23 Apr 25
The European Data Protection Board (EDPB) has approved draft rules for storing and sharing personal data on blockchains to align with GDPR standards. The guidelines limit access to data, emphasize Data Protection by Design, and advise avoiding storing personal data on blockchains if it conflicts wit...
The European Data Protection Board (EDPB) has approved draft rules to ensure blockchain personal data storage aligns with GDPR, emphasizing data protection by design and restricting access to personal information.The guidelines strongly recommend avoiding the storage of personal data on blockchains if it conflicts with data protection principles and advise organizations to conduct Data Protection Impact Assessments (DPIAs) before processing such data. Early implementation of technical and organizational measures is urged to maintain transparency, enable rectification, and uphold erasure rights.Experts offer mixed reactions: some champion the integration of privacy as core infrastructure in blockchain projects, advocating for privacy-by-design and off-chain storage to mitigate legal risks. They highlight that privacy safeguards are critical, not optional add-ons.Conversely, other experts argue that storing personal data on blockchains is fundamentally flawed due to the immutable and decentralized nature of the technology. They stress that privacy regulations like GDPR, especially the "right to be forgotten," clash with blockchain’s permanence, making it incompatible without centralized control.The EDPB stresses limiting data accessibility and describes blockchain’s intrinsic characteristics as challenging under GDPR. Organizations are encouraged to focus on ensuring personal data isn’t available to an indefinite number of parties by default.Notable voices include Bryn Bennett from Hacken, who underscores that decentralization does not imply deregulation and frames privacy as essential to survival, recommending off-chain storage and strong governance.Meanwhile, Harry Halpin of Nym Technologies highlights the risks of putting personal data on-chain, citing concerns over privacy violations and authoritarian misuse. He advocates for off-chain zero-knowledge proofs and network privacy measures instead, warning against applying traditional data protection laws to inherently immutable systems.As blockchain evolves, these guidelines represent a crucial step toward aligning decentralized technologies with established data protection norms, while sparking ongoing debate about the future of privacy in a trustless world.