Consumer protection

Global coalition demands ban on AI-nudification tools over child-safety fears

More than 100 organisations have urged governments to outlaw AI-nudification tools after a surge in non-consensual digital images.

Groups such as Amnesty International, the European Commission, and Interpol argue that the technology now fuels harmful practices that undermine human dignity and child safety. Their concerns intensified after the Grok nudification scandal, where users created sexualised images from ordinary photographs.

Campaigners warn that the tools often target women and children instead of staying within any claimed adult-only environment. Millions of manipulated images have circulated across social platforms, with many linked to blackmail, coercion and child sexual abuse material.

Experts say the trauma caused by these AI images is no less serious because the abuse occurs online.

Organisations within the coalition maintain that tech companies already possess the ability to detect and block such material but have failed to apply essential safeguards.

They want developers and platforms to be held accountable and believe that strict prohibitions are now necessary to prevent further exploitation. Advocates argue that meaningful action is overdue and that protection of users must take precedence over commercial interests.

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Google acquisition of Wiz cleared under EU merger rules

The European Commission has unconditionally approved Google’s proposed acquisition of Wiz under the EU Merger Regulation, concluding that the deal raises no competition concerns in the European Economic Area.

The assessment focused on the fast-growing cloud security market, where both companies are active. Google provides cloud infrastructure and security services via Google Cloud Platform, while Wiz offers a cloud-native application protection platform for multi-cloud environments.

Regulators examined whether Google could restrict competition by bundling Wiz’s tools or limiting interoperability with rival cloud providers. The market investigation found customers would retain access to credible alternatives and could switch suppliers if needed.

The Commission also considered whether the acquisition would give Google access to commercially sensitive data relating to competing cloud infrastructure providers. Feedback from customers and rivals indicated that the data involved is not sensitive and is generally accessible to other cloud security firms.

Based on these findings, the Commission concluded that the transaction would not significantly impede effective competition in any relevant market. The deal was therefore cleared unconditionally following a Phase I review.

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South Korea confirms scale of Coupang data breach

The South Korean government has confirmed that 33.67 million user accounts were exposed in a major data breach at Coupang in South Korea. The findings were released by the Ministry of Science and ICT in Seoul.

Investigators in South Korea said names and email addresses were leaked, while delivery lists containing addresses and phone numbers were accessed 148 million times. Officials warned that the impact in South Korea could extend beyond the headline account figure.

Authorities in South Korea identified a former employee as the attacker, alleging misuse of authentication signing keys. The probe concluded that weaknesses in internal controls at Coupang enabled the breach in South Korea.

The ministry in South Korea criticised delayed reporting and plans to impose a fine on Coupang. The company disputed aspects of the findings but said 33.7 million accounts were involved in South Korea.

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EU launches cyberbullying action plan to protect children online

The European Commission has launched an Action Plan Against Cyberbullying aimed at protecting the mental health and well-being of children and teenagers online across the EU. The initiative focuses on reporting access, national coordination, and prevention.

A central element is the development of an EU-wide reporting app that would allow victims to report cyberbullying, receive support, and safely store evidence. The Commission will provide a blueprint for Member States to adapt and link to national helplines.

To ensure consistent protection, Member States are encouraged to adopt a shared understanding of cyberbullying and develop national action plans. This would support comparable data collection and a more coordinated EU response.

The Action Plan builds on existing legislation, including the Digital Services Act, the Audiovisual Media Services Directive, and the AI Act. Updated guidelines will strengthen platform obligations and address AI-enabled forms of abuse.

Prevention and education are also prioritised through expanded resources for schools and families via Safer Internet Centres and the Better Internet for Kids platform. The Commission will implement the plan with Member States, industry, civil society, and children.

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Custom AI bots support student negotiating skills

In Cambridge, instructors at MIT and the Harvard Negotiation Project are using AI negotiation bots to enhance classroom simulations. The tools are designed to prompt reflection rather than offer fixed answers.

Students taking part in a multiparty exercise called Harborco engage with preparation, back-table and debriefing bots. The system helps them analyse stakeholder interests and test strategies before and after live negotiations.

Back-table bots simulate unseen political or organisational actors who often influence real-world negotiations. Students can safely explore trade-offs and persuasion tactics in a protected digital setting.

According to reported course findings, most participants said the AI bots improved preparation and sharpened their understanding of opposing interests. Instructors in Cambridge stress that AI supports, rather than replaces, human teaching and peer learning.

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EU reopens debate on social media age restrictions for children

The European Union is revisiting the idea of an EU-wide social media age restriction as several member states move ahead with national measures to protect children online. Spain, France, and Denmark are among the countries considering the enforcement of age limits for access to social platforms.

The issue was raised in the European Commission’s new action plan against cyberbullying, published on Tuesday. The plan confirms that a panel of child protection experts will advise the Commission by the summer on possible EU-wide age restrictions for social media use.

Commission President Ursula von der Leyen announced the creation of an expert panel last September, although its launch was delayed until early 2026. The panel will assess options for a coordinated European approach, including potential legislation and awareness-raising measures for parents.

The document notes that diverging national rules could lead to uneven protection for children across the bloc. A harmonised EU framework, the Commission argues, would help ensure consistent safeguards and reduce fragmentation in how platforms apply age restrictions.

So far, the Commission has relied on non-binding guidance under the Digital Services Act to encourage platforms such as TikTok, Instagram, and Snap to protect minors. Increasing pressure from member states pursuing national bans may now prompt a shift towards more formal EU-level regulation.

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eSafety escalates scrutiny of Roblox safety measures

Australia’s online safety regulator has notified Roblox of plans to directly test how the platform has implemented a set of child safety commitments agreed last year, amid growing concerns over online grooming and sexual exploitation.

In September last year, Roblox made nine commitments following months of engagement with eSafety, aimed at supporting compliance with obligations under the Online Safety Act and strengthening protections for children in Australia.

Measures included making under-16s’ accounts private by default, restricting contact between adults and minors without parental consent, disabling chat features until age estimation is complete, and extending parental controls and voice chat restrictions for younger users.

Roblox told eSafety at the end of 2025 that it had delivered all agreed commitments, after which the regulator continued monitoring implementation. eSafety Commissioner Julie Inman Grant said serious concerns remain over reports of child exploitation and harmful material on the platform.

Direct testing will now examine how the measures work in practice, with support from the Australian Government. Enforcement action may follow, including penalties of up to $49.5 million, alongside checks against new age-restricted content rules from 9 March.

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BlockFills freezes withdrawals as Bitcoin drops below $65,000

BlockFills, an institutional digital asset trading and lending firm, has suspended client deposits and withdrawals, citing market volatility as Bitcoin experiences significant declines.

A notice sent to clients last week stated the suspension was intended ‘to further the protection of our clients and the firm.’ The Chicago-based company serves approximately 2,000 institutional clients and provides crypto-backed lending to miners and hedge funds.

Clients were informed they could continue trading under certain restrictions, though positions requiring additional margin could be closed.

The suspension comes as Bitcoin fell below $65,000 last week, down roughly 25% in 2026 and approximately 45% from its October peak near $120,000. In the digital asset industry, withdrawal halts are often interpreted as warning signs of potential liquidity constraints.

Several crypto firms, including FTX, BlockFi, and Celsius, imposed similar restrictions during prior downturns before entering bankruptcy proceedings.

BlockFills has not specified how long the suspension will last. A company spokesperson said the firm is ‘working hand in hand with investors and clients to bring this issue to a swift resolution and to restore liquidity to the platform.’

Founded in 2018 with backing from Susquehanna and CME Group, there is currently no public evidence of insolvency.

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Russia tightens controls as Telegram faces fresh restrictions

Authorities in Russia have tightened their grip on Telegram after the state regulator Roskomnadzor introduced new measures accusing the platform of failing to curb fraud and safeguard personal data.

Users across the country have increasingly reported slow downloads and disrupted media content since January, with complaints rising sharply early in the week. Although officials initially rejected claims of throttling, industry sources insist that download speeds have been deliberately reduced.

Telegram’s founder, Pavel Durov, argues that Roskomnadzor is trying to steer people toward Max rather than allowing open competition. Max is a government-backed messenger widely viewed by critics as a tool for surveillance and political control.

While text messages continue to load normally for most, media content such as videos, images and voice notes has become unreliable, particularly on mobile devices. Some users report that only the desktop version performs without difficulty.

The slowdown is already affecting daily routines, as many Russians rely on Telegram for work communication and document sharing, much as workplaces elsewhere rely on Slack rather than email.

Officials also use Telegram to issue emergency alerts, and regional leaders warn that delays could undermine public safety during periods of heightened military activity.

Pressure on foreign platforms has grown steadily. Restrictions on voice and video calls were introduced last summer, accompanied by claims that criminals and hostile actors were using Telegram and WhatsApp.

Meanwhile, Max continues to gain users, reaching 70 million monthly accounts by December. Despite its rise, it remains behind Telegram and WhatsApp, which still dominate Russia’s messaging landscape.

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AML breach triggers major fine for a Netherlands crypto firm

Dutch regulators have fined a cryptocurrency service provider for operating in the Netherlands without the legally required registration, underscoring intensifying enforcement across Europe’s digital asset sector.

De Nederlandsche Bank (DNB) originally imposed an administrative penalty of €2,850,000 on 2 October 2023. Authorities found the firm breached the Anti-Money Laundering and Anti-Terrorist Financing Act by offering unregistered crypto services.

Registration rules, introduced on 21 May 2020, require providers to notify supervisors due to elevated risks linked to transaction anonymity and potential misuse for money laundering or terrorist financing.

Non-compliance prevented the provider from reporting unusual transactions to the Financial Intelligence Unit-Netherlands. Regulators weighed the severity, duration, and culpability of the breach when determining the penalty amount.

Legal proceedings later altered the outcome. The Court of Rotterdam ruled on 19 December 2025 to reduce the fine to €2,277,500 and annulled the earlier decision on objection.

DNB has since filed a further appeal with the Trade and Industry Appeals Tribunal, leaving the case ongoing as oversight shifts toward MiCAR licensing requirements introduced in December 2024.

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