HomeNewsApple Faces Legal Battle: DOJ Sues Over App Store Rules Impacting Crypto

Apple Faces Legal Battle: DOJ Sues Over App Store Rules Impacting Crypto

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  • A DOJ lawsuit accuses Apple of monopolistic actions that restrict competition and innovation, notably in crypto-based apps.
  • BlockVoyager and others have noted Apple’s restricted policies’ negative effects on crypto innovation and accessibility.

The US Department of Justice (DOJ), with the support of 16 state attorneys general, has filed a historic antitrust action against Apple.

The March 21 federal court complaint in New Jersey accuses the internet giant of stifling competition and innovation, with an emphasis on cryptocurrency applications.

A Choke on Competition and Innovation

The claim that App Store guidelines and developer agreements are strategically designed to preserve its market hegemony is at the heart of the DOJ’s argument.

These regulations stifle innovation, impede exorbitant fees, and worsen the user experience in general. They especially impede the development of cryptocurrency apps on iOS devices, which serves to further solidify Apple’s monopoly on smartphones and applications.

Apple’s limiting tactics have been met with fierce condemnation from the cryptocurrency community.

Prominent personalities such as BlockVoyager have brought attention to the negative consequences of Apple’s policies on the development and usability of cryptocurrency apps via social media channels, summarizing a general apprehension among developers and users regarding the inhibition of cryptocurrency innovation under Apple’s present management.

The Effects of the “Apple Tax”

One of the main points of disagreement is Apple’s notorious “Apple Tax,” or the 30% fee that it charges developers for in-app purchases.

This policy essentially ignores other payment options, such as cryptocurrency transactions, which limits the viability of incorporating cryptocurrencies into applications from an economic standpoint and goes against the decentralization and accessibility core values of the cryptocurrency movement.

The DOJ case highlights the wider ramifications of Apple’s actions, which have an impact on a number of industries, including the financial sector.

Also, Apple’s activities are seen as anti-competitive and exclusionary since they restrict access to alternative payment methods and impose arbitrary limitations, impeding future advancements and diversity in the fields of digital wallets and payment solutions.

Previously, Apple took down the Bitget exchange app from its App Store due to ongoing antitrust litigation. But as ETHNews has reported, the exchange is committed to returning.

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Syofri is an active forex and crypto trader who has been diligently writing the latest news related to the digital asset sector for the past six years. He enjoys maintaining a balance between investing, playing music, and observing how the world evolves. Business Email: info@ethnews.com Phone: +49 160 92211628