Apple Sued by Venmo and Cashapp Users
21 Nov, 2023 ● Crypto News
A class-action lawsuit has been filed by disgruntled customers against Apple, alleging the tech giant has planned to restrict peer-to-peer (P2P) payment options on its devices and prevent cryptocurrency technology from being used in iOS payment apps.
According to a complaint filed in a California District Court on November 17, Apple restricted the use of decentralized cryptocurrency technology in payment apps, forcing users to pay "rapidly inflating prices" through anti-competitive agreements with PayPal's Venmo and Block's Cash App.
“These agreements limit feature competition—and the price competition that would flow from it—marketwide, including by barring the incorporation of decentralized cryptocurrency technology within existing or new iOS Peer-to-Peer Payment apps,” the filing says.
Additionally, the plaintiffs asserted that Apple "exercises unfettered control over every app installed and run on iPhones and iPads" through the use of "technological and contractual restraints," such as "contractual limitations on web browser technology" and hardware-enforced App Store exclusivity.
Apple can and does impose restrictions on newly released iOS P2P payment apps, including prohibiting cryptocurrency "as a condition for entry," according to the lawsuit.
The plaintiffs identify as consumers who, as a result of Apple's trade restrictions on the iOS P2P payment market, have had to pay exorbitant fees.
They are requesting an injunction to prevent Apple from entering into and enforcing anti-competitive agreements that would restrain competitors and potential entrants in the iOS P2P payment market, as well as compensation for excessive fees and overcharging as a result of Apple's alleged anti-competitive conduct.
The 58-page filing presents the history and rise of peer-to-peer payment apps, decentralized cryptocurrencies and Apple’s emergence into the market.
Sources:
https://cointelegraph.com/news/apple-sued-over-crypto-payment-tech-blocks
