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The FinTech, metaverse and AI sectors have been revolutionizing the way society interacts with technology (and vice versa). In addition to these types of technologies enhancing the user experience in terms of efficiency, they also have features and characteristics that are energizing many other sectors at a dizzying speed and at a pace that has surpassed all predictions, including in sectors associated with other disruptive concepts or technologies, such as data science, data and big data, cloud, edge and spatial computing, internet of things, smart cities, brain-computer interfaces, quantum technologies, robotics, autonomous systems and intelligent automation, among others.
Data science, data & big data
«Data science» is a multidisciplinary field that revolves around the treatment of vast data sets and their use to build predictive, prescriptive and descriptive analytical models. This area of study combines elements of computer science, business management and statistics. According to the United Nations Conference on Trade and Development - UNCTAD, in the digital economy, everything is «data». The International Organization for Standardization - ISO defines «data» as an interpretable representation of information suitable for communication, interpretation or processing. This definition is widely accepted and is in line with the concept of «data message» advocated by UNCTAD in the context of e-commerce, i.e. information generated, sent, received, or stored by electronic, magnetic, optical, or similar means (excluding paper media). A fundamental aspect of understanding the concept of «data», as well as how data is transacted, lies in the concept of «data processing». As a rule, data processing covers a variety of operations, including collection, recording, organization, structuring, storage, adaptation, or alteration, retrieval, transmission, alignment, or combination, restriction, deletion, and destruction. Today, technological advances that allow greater capacity for collecting, transmitting and analyzing data have given data the status of a commodity. This greater capacity has given rise to the concept of «big data», or «macrodata», which is used to describe the methods that accumulate, manage, and process large amounts of information. The importance of data in driving economic development has given rise to a «data economy», in which multiple data-related services are offered through a «data market». Reports from UNCTAD and the World Trade Organization - WTO indicate an increase in cross-border data flows and a global data market with growing economic value. Companies are increasingly recognizing the potential of «their» data (i.e. the data they hold and control) and are exploring opportunities to sell it on the data market. At the same time, the amount of data generated by humans and machines has seen an exponential increase, so efforts to regulate cross-border data flows in this context involve issues that go beyond privacy and data protection. In this regard, the EU introduced the European Data Strategy in 2020, initially via the Data Governance Act, which establishes processes and structures to facilitate data sharing between companies, individuals and the public sector, and later via the Data Act, which aims to harmonize rules on fair access to and use of data.
Cloud, edge & spatial computing, and internet of things (IoT)
«Cloud computing» is an information technology paradigm that facilitates secure, sustainable and universal access to shared sets of system resources that can be configured as a digital infrastructure, digital platform and/ or digital service. Access is via a self-service online control panel, metered in such a way as to guarantee payment only for actual consumption. Service providers offering shared digital infrastructures divide their services into three main categories: «infrastructure as a service» («IaaS»), «platform as a service» («PaaS») and «software as a service (SaaS)». Currently, the combination of these services with «generative artificial intelligence» («GenAI») systems plays a key role in the ongoing digital transformation of the economy. GenAI systems such as OpenAI's ChatGPT offer online access to digital infrastructure, platforms and services, precisely through cloud computing. In the future, and although cloud computing currently takes place mainly in large data centers, this trend is expected to reverse, with the majority of all data being processed on smart devices closer to the user, a concept known as «edge computing». Nevertheless, combining edge and cloud computing within a computing continuum is crucial to ensure efficient data processing. In this sense, although the actions outlined in the EU data strategy aim to facilitate the transition to the edge, they simultaneously promote interoperable cloud and edge services to support the establishment of common European data spaces. In this context, the «internet of things» («IoT») is particularly important, allowing the physical and virtual realms to come together. IoT consists of a network of physical devices, vehicles, household appliances, among other items, incorporated with electronics, software, sensors and other connectivity tools. This combination of elements allows for increasingly strong connectivity between objects, as well as increasingly sophisticated data collection, processing and transmission, and in real time. IoT is one of the main pillars of the digital transformation, as it not only seeks to reshape lifestyles, work environments and recreational activities, but also to offer innovative solutions that facilitate the creation of intelligent environments. The European Commission has released a set of policy measures to support the acceleration of the adoption of the next generation of IoT and edge computing, with a view to unlocking its full potential in the EU. Faced with the proliferation of IoT devices and interconnected systems in various sectors, data management in edge computing has been facing some challenges such as data overload, or difficulties in processing multiple tasks simultaneously or certain types of data. The emergence of virtual worlds and the consequent evolution from Web 3.0 to Web 4.0, which is currently underway, seems to ease these challenges, as it allows the internet of things to evolve into the «internet of digital twins» («IoDT»). This evolution takes advantage of the advances in pervasive and immersive technologies that drive the metaverse and digital twins and consists of developing the concept of traditional cloud and edge computing into the disruptive and contemporary concept of «spatial computing». Together, they seek to complement each other through harmonized integration and interoperability.
Smart cities
The smart city concept consists of optimizing conventional networks and services by applying digital solutions to improve the well-being of residents and businesses. However, simply using digital technologies to improve resource efficiency and minimize emissions is not enough. Implementing the smart city concept involves developing intelligent urban transport systems, improved water supply and waste disposal infrastructures, lighting techniques, and more efficient building heating. To these elements are added fast and efficient public services, as well as the creation of safer public spaces and meeting the needs of the ageing population. In this sense, the smart city aims to harness a combination of technologies to increase efficiency, sustainability, and overall quality of life. As such, the implementation of smart cities is the result of a holistic strategy that aims to integrate technology into urban systems, and to promote the collaboration of stakeholders while addressing the unique needs and challenges of a given community. Among other things, at the heart of this transformation are: (i) «internet of things» («IoT») devices, sensors and actuators, which collect data in real time from various points in the city's infrastructure; (ii) connectivity, facilitated by high-speed broadband and 5G (and, in the future, 6G) and considered essential in communication and interoperability between devices; (iii) «data» analysis, which plays a crucial role in making informed decisions based on the large volume of data generated, while the combination of «cloud, edge and spatial computing» facilitates the storage and processing of this information; (iv) artificial intelligence («AI») systems for city operations, which include «machine learning» («ML»), «predictive analysis», «computer vision» («CV»), «autonomous systems», and «intelligent automation»; (v) «distributed ledger technology» («DLT»), which increases the security and transaction transparency of digital representations of value in areas such as finance, identity verification and supply chain management; (vi) robust «cybersecurity» measures, due to the interconnected nature of smart city technology; (vii) «smart energy grids», which contribute to sustainable and efficient energy distribution and monitoring; and (viii) mobile applications that promote citizen engagement by providing real-time information and allowing access to services and platforms for feedback.
Brain-computer interface (BCI)
Unlike a mere neurostimulator (an electronic device similar to a cardiac pacemaker), the «brain-computer interface» («BCI») is not used to stimulate the brain, but rather to establish a direct communication link which, by bypassing the peripheral nervous system and muscles, allows users to control an external computer exclusively through brain activity. This type of interface was first developed in clinical medicine as a therapeutic or medical assistance technology for neurological patients. In a clinical context, it is used to repair, assist, or augment motor, cognitive, or sensory functions in patients suffering from neurological disorders that precisely affect motor development and/ or cognitive and sensory functions, including spinal cord injuries, strokes, and neurological motor diseases. The literature distinguishes the brain-computer interface into two types, namely invasive and non-invasive. While the invasive interface records brain activity through the surgical implantation of electrode arrays in the central nervous system or through a direct physical connection, the non-invasive interface records brain activity through electrodes placed on the outside of the skull, i.e. through neuroimaging technologies such as «electroencephalography» («EEG») and «electromyography» («EMG»). In both cases, a direct interaction is established between the user's brain and the neural device. Controllable applications include powered devices such as electric wheelchairs or even robotic prosthetic limbs, sensory devices, and other types of software and hardware applications (including mobile applications and cell phones). This type of interface is available not only in a clinical context, but also in a commercial context. Multiple commercial applications based on EEG have become available on the market and are increasingly popular both for video games and in everyday activities. Interfaces are currently being developed to replace the keyboard, touch screen, computer mouse, and even voice assistance technology. The combination of the metaverse concept and the brain-computer interface aims to completely replace screens and physical hardware and allow consumers to interact directly with computers. Certain virtual, augmented, mixed, or extended reality devices, which include sensory interaction systems, already seem to constitute a kind of electroencephalography (EEG) cap. One of the main objectives of this combination of resources and technologies is to make the metaverse and the digital avatar that represents the user as pervasive and immersive as possible, in particular with a view to achieving a symbiosis between the physical and virtual worlds in the context of everyday life. The aim is to reshape the social experience of space and time. Even so, in the event of mass adoption of this type of technology (as happened with mobile devices), the risks associated with «neural security» remain largely unexplored.
Robotics, autonomous systems & intelligent automation
In general, a «robot» is a machine designed to perform a certain action, or a series of them, and navigate the physical world autonomously. Given the technological advances in terms of «generative artificial intelligence» («GenAI»), there are more and more cases where the algorithms incorporated into robots are based on certain forms of AI. The integration of AI into robotics improves robots' ability to learn, adapt, improve performance, interact with environments, and perform complex tasks. Spread across virtually all sectors, «industrial robots» (especially in the automotive sector), «medical robots», and «military unmanned aerial vehicles» (commonly known as «military drones») stand out. In these areas, the EU's strategy is to establish a robust scientific basis and push the technological boundaries of «robotics». The new machinery regulation aims to contribute to these efforts, notably by amending the current machinery directive. Together, they aim to establish the rules to effectively address the emerging risks and challenges brought about by the production and marketing of machinery, so they cover both consumer products and industrial equipment. These products include robust construction machines and complete industrial production lines, or even highly digitized products such as robots and 3D printers. Intrinsically linked to the concept of robotics is the concept of «autonomous system», because not all robots are autonomous (in that some perform merely repetitive and manual tasks) and not all autonomous systems (which can be represented by mere software) are robots. In general, an autonomous system facilitates the operation of a motorized vehicle without direct physical control or monitoring by a human operator. For this purpose, «autonomous vehicle» is defined as a motor vehicle equipped with an autonomous system. The term «autonomy» derives from the philosophical concept, which expresses the human capacity to make decisions independently and with free will. Traditionally, the term encapsulates the right to define moral and ethical principles, standards of personal behavior, and to pursue individual life goals. In turn, the cognitive processes that support autonomy are closely linked to human dignity and embody the essence of human action with reason-based characteristics such as «self-knowledge» and «self-awareness». Even so, and although the original meaning of autonomy remains a vital aspect of human dignity and should not be compromised, the terminology has gained traction and can be seen as representing the pinnacle of automation and independence from human intervention in scientific development. The concept of an autonomous system is typically distinguished from «intelligent automation», also known as «cognitive automation». Intelligent automation involves the use of automation methods, such as certain forms of AI, «business process management» («BPM») and «robotic process automation» («RPA»). In this sense, intelligent automation aims to simplify processes, optimize resources, and improve operational efficiency, with a view to improving and expanding decision-making capabilities in organizations.
Quantum technologies
«Quantum technologies» are based on two fundamental quantum principles: «quantum superposition» and «quantum entanglement». Quantum superposition implies the notion that a quantum system, such as a subatomic particle, can exist in multiple states simultaneously. Common intuition suggests that a single particle should correspond to only one state at a given point in time. On the other hand, quantum entanglement consists of the ability of two quantum systems to be interconnected and exchange information, even when physically separated. The advent of «quantum mechanics» in the early 1900s revolutionized physics and provided a deeper understanding of these matters. The first quantum revolution resulted in technologies such as transistors, lasers and microprocessors. These technologies laid the foundation for the creation of computers, telecommunications, and smartphones, among others. The technology associated with the second quantum revolution, facilitated by modern technology, has enabled the development of the «quantum computing» sector. The quantum computer works through quantum bits or qubits and stands out for its ability to perform certain calculations much faster than using traditional methods. This type of computer has applications in different areas, such as life sciences, finance and logistics. In the EU, initiatives such as the European High-Performance Computing Joint Undertaking - EuroHPC JU aim to actively contribute to the integration of quantum computers in European supercomputing centers through programs such as the Digital Europe Program. The EU has also launched the «Quantum Technologies» initiative, which aims to support research into quantum computing and projects aimed at bringing this transformative technology to the market. Among the technologies associated with the second quantum revolution is «quantum communication», which involves the transmission of quantum bits over long distances and, when combined with «quantum processing units», forms the «quantum internet». Quantum communication turns out to facilitate the transmission of information between quantum computers through parallel quantum calculations. Also noteworthy are: (i) «quantum sensors», which provide highly precise measurements, with practical applications such as biosensors and the identification of defects in metals; (ii) «quantum random number generators», which in the field of cryptography aim to generate genuinely unpredictable randomness in order to guarantee security; and (iii) «quantum simulators», similar to quantum computers in the use of qubits, which serve a more specific purpose, i.e. to simulate quantum systems.
Digital services & digital markets
The EU has observed that «digital services» and «digital markets» in general, and online platforms in particular, increasingly play an important role in the economy, especially in the internal market, by enabling businesses to reach users remotely, facilitating cross-border trade, and creating entirely new business opportunities. In this sense, fair competition between digital services is essential to ensure that businesses and consumers can benefit equally from digital opportunities. In the EU, the Digital Markets Act aims to guarantee a level playing field for all digital businesses and ensure a competitive and fair digital sector, with a view to promoting innovation, high-quality digital products and services, and fairer prices for consumers. This law defines clear rules for the large platforms, i.e. the «gatekeepers» that provide the so-called «essential platform services», in order to ensure that they do not abuse their position. In force since May 2, 2023, the Digital Markets Act is part of the EU's digital services package, which also includes the Digital Services Act. Both aim to protect users from unfair practices while supporting innovation in the digital economy. The Digital Services Act, effective from February 2024, encompasses rules for online intermediaries and platforms, including marketplaces, social networks, content-sharing platforms, app stores, and online travel and accommodation platforms. Since information society services and especially intermediary services have become an important part of the Union's economy and the daily lives of its citizens, the main objective of this regulation is to prevent illegal and harmful online activities, and the spread of disinformation. The regulation aims to ensure user safety, protect fundamental rights, and create a fair and open environment for online platforms. The obligations of the different online operators will correspond to their role, size, and impact on the digital ecosystem, being divided into: (i) «very large online platforms and search engines»; (ii) «online platforms bring together sellers and consumers» such as online marketplaces, app stores, collaborative economy platforms and social media platform; (iii) «hosting services» such as cloud and web hosting services; (iv) «intermediary services» offering network infrastructure, like Internet access providers and domain name registrars.
Crypto taxation
The creation and reception of disruptive technologies has led to pertinent legal questions, since whenever relations between individuals change, legal science must keep pace with this change, including legal-tax science. In fact, the stagnation of legal-tax science can have serious consequences for the security of legal commerce and, eventually, generate irreparable dysfunctions and distortions in the economic-financial system. Over the last few years, the creation and reception of blockchain technology, as well as operations related to crypto-assets, have resulted in numerous atypical and differentiated legal situations, even camouflaging complex legal situations of a financial nature that are in every way identical to traditional securities. The European Parliament adopted a resolution on May 10, 2023, recommending the introduction of a European tax on crypto-assets. The resolution states that crypto-assets are increasingly being considered as a means of payment and also as part of investment strategies. In this sense, it argues that the harmonization of tax regimes at European level would be more efficient, essentially due to the high mobility and cross-border dimension of this type of asset. The European Parliament also argues that such harmonization would allow for better regulation and supervision of operations related to crypto-assets, as well as increasing transparency and reducing the high risk of money laundering, terrorist financing, and tax evasion. At the national level, and after several years without a tax regime and being labeled a crypto tax haven, the Portuguese government introduced a new regime for taxing income from crypto-related operations with the 2023 State Budget. Due to numerous inaccuracies, this initial proposal was modified and subsequently approved by the Portuguese parliament. The tax regime approved (which is far from perfect) appears to answer some practical questions and offers exemptions that could help boost the development of this sector in Portugal.
Cybercrime & cybersecurity
Currently, there is still no consensual definition of «cybercrime». Whether at international, European or even national level, there is no consensus on the expression, definition, typology or classification. Nor is there a concept of «cybercrime» expressly enshrined in Portuguese legislation, nor is there a uniformly established concept in the literature or in case law. The term «cybercrime» has come to encompass, in a generic and abstract way, a panoply of crimes committed using information and communication technologies, covering both classic criminal acts and new types of crime. The terms «cybercrime», «computer crime», «computer-related crime» or «high-tech crime» are used frequently, but at random. In this sense, the European Commission has broadly defined cybercrime as criminal acts committed using electronic communications networks and information systems or against such networks and systems. The recent technological advances in information and communication technologies, combined with the phenomenon of globalization and the consequent policy of freedom of movement, have led to an exponential and increasingly notorious increase in the number of cross-border legal and criminal situations related to «cybercrime». In this context, the EU aim to improve the joint efforts of Europeans in the field of «cybersecurity» and the ability to counter «cyberattacks», while also taking into account that cybersecurity threats can transcend national borders, with a cyberattack on a country's critical infrastructure potentially affecting the entire EU. This type of cyberattack can target not only individual computers, but entire networks. As a rule, they are orchestrated by «individual» hackers, groups of hackers or even countries. As such, the EU believes that member states should maintain robust national cybersecurity entities and mechanisms in order to oversee cybersecurity within their borders and collaborate with counterparts in other member states through information sharing, especially in sectors considered critical to society. To this end, the NIS Directive obliges the creation and collaboration of such national government entities. The review of this directive carried out at the end of 2020 resulted in the Commission presenting a proposal for a Directive made up of measures aimed at creating a common, high level of cybersecurity across the Union, known as the NIS2 Directive. The EU's cybersecurity strategy also includes the Cybersecurity Act, the Cyber Resilience Act and the Cyber Solidarity Act, all aimed at improving the response to cyber threats across the EU.
Neurocrime & neurosecurity
In general, everything is a system and everything can be hacked. As such, the use of computer systems is not limited to the social, professional, and economic spheres, but extends to the psychological and biological spheres. With the evolution of cybercrime, this domain seems to be extending to the human brain and mind itself, in the form of «neurocrime» and «neurohacking». Neurohacking consists of the abusive and malicious use of neural devices in order to illicitly obtain and possibly manipulate neural information. In other words, we are dealing with a neuro-attack carried out through neural devices, through which the perpetrators gain illicit access to neural information which, in turn, can be manipulated in order to control the cognitive process or the execution of a certain mental task of the user of the device. Once the neural device has been accessed, it is used to commit crimes without the user's knowledge. In this logic, whenever a crime is committed using neural interfaces and, in addition to posing a physical threat to users, can also have a profound impact on their behavior and self-perception, everything indicates that we are dealing with a «neurocrime». Neurocrime thus seems to constitute any act in which the human brain and/ or mind serve as a means to achieve a criminal goal, and the human brain and/ or mind can represent a merely symbolic target of this act or represent the object of the crime. In theory, a distinction should therefore be made between «neurocrime», in which the human brain and/ or mind is the target of the crime, and «crime committed using neural and/ or purely mental manipulation», in which the human brain and/ or mind is the means of executing the crime. As such, a distinction must still be made between neural manipulation and purely mental manipulation. Although it has not yet been typified, the concept of «neurocrime» has been defined in the literature as a crime against the mind of a person or a group of people, committed using neural and/ or purely mental manipulation via a neural device, and with the intention of directly or indirectly causing physical or mental harm, including reputational and/or property damage. Since the problem associated with the misuse of information technologies in the context of neurotechnology is particularly critical, essentially because this type of technology applies (directly or indirectly) to the brain, one of the most important organs in the human body, its classification has been increasingly discussed, both nationally and internationally.