Apple Faces Lawsuit for Blocking P2P Crypto Payments Solution
Apple is currently facing a class-action lawsuit for blocking peer-to-peer cryptocurrency payment solutions. The lawsuit has invoked anti-competitive tactics against iOS. The plaintiffs in the lawsuit are made up of Apple consumers who have retained that the tech company attempted to limit the P2P payment solution on its devices and hindered the development of blockchain technology.
The official complaint against the tech giant was filed on 17th November in the California District Court. The complaint has purported Apple signed anti-competitive agreement with Venmo and Cash App by Block.
The purpose of the agreement was to limit the use and adoption of decentralized digital currency tech in payment services providers. As a consequence, the consumers had to pay inflating charges for digital payments.
The lawsuit has also alleged that the agreement limits competition such as decentralized blockchain trading options within the iOS based payment applications for p2p purposes.
At the same time, the plaintiffs also claimed that Apple has employed tech and contractual restraints such as hardware-based application store exclusivity and limitations on web browsers.
Apple Consumers Call for Cryptocurrency Payment Options
The lawsuit initiated by the Apple product users have raised questions about practices of the tech firm to establish control over listed applications that are used on its products such as iPhones and iPads.
Plaintiff claims that Apple is able to implement restrictions on the newly listed applications on iOS market such as barring crypto transactions on P2P payment applications as a condition for qualifying for listing on the iOS app store. The plaintiffs have raised alarm about having to pay higher transaction fees on account of Apple’s restrictions on iOS and P2P payment alternatives.
On this account, the plaintiffs seek to claim the additional charges on account of alleged anti-competitive practices the firm has undertaken. At the same time, the plaintiffs also intend to bring an injunctive relief action against the firm that will allow alternative digital payment services providers to get a listing.
The detailed filing on this account has included history and increasing demand of peer-to-peer payment applications and decentralized tokens with the perspective of Apple’s market entry. The United States Court of Appeals ruled against Apple for violating California competition laws by blocking access of non-Apple alternative payment applications for Apple product holders.
Legislators Investigate Apple Regarding Policies on Blockchain
The recent action against Apple from its consumers is not the first time that someone has raised questions regarding the blockchain policies of the firm. In July, United States legislatures namely Gus Bilirakis and Jan Schakowsky wrote a letter to Apple CEO Tim Cook.
The letter asked questions about the policies of the tech firm concerning blockchain technology and NFTs. The letter requested the firm to comment on whether their policies hinder innovation and development of blockchain technology.
The legislators suggested a pattern in the blockchain-related policies of the firm retaining that Apple has capitalized on them. The lawmakers claimed that Apple required blockchain apps to publish lite versions that reduced the utility of alternative apps and increased profits for the firm. As an example, they presented the case of Axie Infinity experience on iOS app store.
The head of the Innovation, Data, and Commerce Subcommittee also claimed that Apple has adopted wallet garden approach to ensure security but it has also used its app store as a way to ward off competition. The same lawmakers have also sent similar letters to TikTok and other applications based out of China.
