Tech Giant Apple Requests Dismissal of Lawsuit Over Cryptocurrency App Policy

On Friday, February 2, 2024, technology company Apple Inc. asked a US federal judge to dismiss a consumer lawsuit accusing Apple of unlawfully banning apps that facilitate cryptocurrency transactions.

In a filing submitted in California Northern District Court, Apple argued that the four Venmo and Cash App users who brought forward the antitrust lawsuit in November 2023 did not cite any specific app store rules or business agreements that were unlawful.

The plaintiffs claimed in their lawsuit that Apple’s restrictions on crypto technology apps have harmed competition in the peer-to-peer payment market and led to increased fees for users of services like PayPal’s Venmo and Block’s Cash App. However, Apple maintained in its dismissal request that the lawsuit relies on a speculative theory rather than evidence.

Apple noted that the complaint failed to demonstrate how cryptocurrency transactions can reasonably substitute for instant cash and credit payment options provided by Venmo and Cash App. Peer-to-peer payment apps allow individuals to send money directly to others’ accounts using mobile devices.

While the lawsuit alleged that Apple, Venmo and Cash App have continuously raised prices without competition, Apple argued that its app review guidelines establish criteria for developer licenses but do not outright ban all crypto-related apps.

This case is among other ongoing legal actions accusing Apple of anti-competitive behavior. In September 2023, a separate judge ruled that payment card issuers could proceed with suing Apple over alleged anti-competitive practices tied to its Apple Pay digital wallet system. The court will now decide whether to dismiss or allow the consumer lawsuit against Apple to move forward.

Please contact BlockTribune for access to a copy of this filing.