A former Apple director has accused the iPhone maker of throttling the crypto community with new App Store rules.
“It’s bad for the community, because it’s going to jack up prices,” Phillip Shoemaker, former senior director in charge of App Store review at Apple and now CEO of blockchain-powered identity verification company Identity.com, tells Verdict.
Go deeper with GlobalData
Apple introduced the tougher rules on blockchain money and non-fungible tokens (NFT) in October. While the new rules allow apps to facilitate “transactions or transmissions of cryptocurrency on an approved exchange”, those apps can only be offered in countries or regions where it has licensing and permission to operate a crypto exchange, as reported by CNBC.
Apple guidelines say crypto apps should only be offered in countries where it has permission and licensing to operate crypto exchanges.
The rules also clarified that Apple will also take its usual 30% cut of all in-app purchases and payments made on apps available on the App Store, even if they are crypto and NFT platforms.
The 30% cut has been the target of criticism in the past. For example, it was the main point of contention between Cupertino and Fortnite developer Epic Games when they went to court last year.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataUsers can still see their NFTs and watch NFT art galleries within apps, but only if the NFT does not “unlock features or functionality within the app,” according to Apple’s guidelines.
When asked about the criticism, Apple just replied by sending a link to its App Store guidelines.
The news about Apple’s guideline changes comes as venture capital (VC) deals into the blockchain businesses have dropped in 2022.
In 2021, blockchain companies secured 1,041 deals, worth a total of $26.6bn. So far in 2022, 1,125 deals worth a combined $18.2bn, have been completed. While that’s a drop in the total value injected into the industry compared to the previous year, it’s still above the $3.3bn funnelled into the industry in 2019.
