Apple sued after users lose $1.8 million to fake Sparrow Wallet
Apple is facing a lawsuit after three users lost more than $1.8 million in Bitcoin to a fake crypto wallet app called Sparrow Wallet, which mimicked the real Sparrow Bitcoin wallet.
The app was available on the App Store, even though the official version isn't on iOS.
The users say they trusted Apple's security promises and transferred their Bitcoin, only to discover it was gone.
Plaintiffs question App Store review process
The plaintiffs are questioning how Apple's app review process missed this scam, especially since Craig Raw, the creator of the real Sparrow Wallet, has openly criticized Apple for letting fake apps slip through.
They're asking for compensation, a jury trial, and warnings and disclosures about the App Store's risks.
While Apple hasn't commented directly on the lawsuit, it says it has strict rules against deceptive apps and has now removed all fake Sparrow Wallets from its platform.