• US lawmakers are concerned that Apple’s App Store guidelines may hinder blockchain and NFT growth, citing potential exploitation of competitive advantage.
• Lawmakers’ letter to Apple’s CEO highlights Web3’s challenges and worries over a 30% NFT gas fee policy impacting US tech leadership.

Congressman Gus Bilirakis of Florida and Congresswoman Jan Schakowsky of Illinois, who respectively serve as Chairman and Ranking Member of the House Subcommittee on Innovation, Data, and Commerce, have jointly expressed deep concerns about Apple’s App Store guidelines potentially stifling the burgeoning growth of blockchain and non-fungible tokens (NFTs) technologies. The lawmakers contend that the tech giant might exploit its App Store rules to gain undue competitive advantage.

A focal point raised in the letter to Apple CEO Tim Cook is the challenging landscape faced by Web3 games and app developers, who rely on cryptocurrency integrations and NFT sales for monetization. Previously, iOS users were required to link a cryptocurrency wallet to acquire in-app NFTs. Still, Apple has now introduced the option to use Apple Pay through regular credit or debit cards, seemingly warming up to Web3 applications. However, critics remain wary of Apple’s overall impact on the cryptocurrency industry.

US Lawmakers Sound Alarm On Apple’s App Store Policies Impacting Crypto Sector Leadership

Bilirakis and Schakowsky assert that Apple’s App Store policies could adversely affect the United States’ leadership status in the technology sector. With a massive user base on iOS, being on the App Store is crucial for app developers. They highlight Apple’s policy, which mandates a 30% commission on gas fees associated with NFT transactions, and raise concerns about blockchain-based apps.

The letter addressed to Tim Cook poses detailed questions and requests documents pertaining to the App Store’s policies. One of the anti-crypto policies highlighted in the letter is the requirement for blockchain projects to surrender 30% of their gas fees to the App Store. This policy has been a contention since it posed compliance difficulties for projects like Coinbase Wallet, which claimed that Apple’s in-app purchase system did not support cryptocurrencies.

As key members of the Innovation, Data, and Commerce Subcommittee, Bilirakis and Schakowsky have consistently stressed the significance of understanding the implications of the App Store guidelines on innovation and technological leadership. Their concerted effort to address the concerns surrounding Apple’s impact on the cryptocurrency sector has been welcomed by notable figures in the crypto space.

Crypto Community Welcomes Inquiry

Coinbase’s Chief Legal Officer, Paul Grewal, and Blockchain Association’s Chief Executive, Kristin Smith, have both publicly lauded the initiative taken by Bilirakis and Schakowsky. The scrutiny of Apple’s policies is a relief to the crypto community, which has long sought greater transparency and fair treatment within app stores.

Former App Store director Phillip Shoemaker, who was involved in crafting the original guidelines with late Apple co-founder Steve Jobs, earlier revealed that the guidelines were rewritten to position Apple as a “gatekeeper” to emerging technologies. Shoemaker claimed that Apple intentionally maintained a vague stance on crypto and NFTs while being selective in accepting or rejecting related projects, thereby wielding significant influence over the future of these technologies.

The lawmakers have set a deadline of August 14 for Apple to respond to their inquiries about the App Store’s crypto-related policies. As the deadline approaches, the cryptocurrency industry eagerly awaits the company’s response and potential actions that may follow from Congress to ensure fair treatment and a conducive environment for blockchain and NFT innovations.