By Dominion Ndubuisi
Apple Inc. faces a new class-action lawsuit filed in California, alleging the tech behemoth of stifling peer-to-peer (P2P) payment innovation by restricting cryptocurrency payment options on its devices. This legal challenge adds to the company's growing list of antitrust accusations concerning payment methods within its ecosystem.

The Crux of the Lawsuit

Plaintiffs argue that Apple's policies on its iPhone platform unfairly inhibit decentralized payments, depriving users of alternative, lower-cost transaction methods. They contend that this is a calculated move by Apple to maintain its lucrative revenue stream from Apple Pay, which incurs a 30% fee on transactions.

Past and Present Battles

This isn't Apple's first rodeo with antitrust complaints. The company previously locked horns with Epic Games, resulting in a court ruling that granted app developers the right to direct users to alternative payment channels. Additionally, Apple has been contending with a private antitrust lawsuit and an EU regulatory investigation over similar concerns.

Allegations of Anti-Competitive Agreements

The lawsuit alleges that Apple has inked anti-competitive deals with major P2P payment services like CashApp and Venmo, operated by Block and PayPal. These agreements purportedly prevent the integration of decentralized crypto technologies within P2P payment apps on iOS, limiting feature and price competition.

No Suit Against PayPal and Block

Interestingly, PayPal and Block are not defendants in this case. This detail suggests that the plaintiffs view these companies as potential victims of Apple's coercive policies rather than willing collaborators in stifling payment competition.

Accusations Extend to App Store Restrictions

The lawsuit extends its allegations to Apple's App Store practices, accusing the company of banning crypto-related apps and threatening to remove others with crypto-tipping features, such as the Dorsey-backed Damus app.

A Decision Awaits

As the legal proceedings unfold, the decision rests with the judiciary to determine the validity of the accusations and the future of payment diversity on Apple's devices. This lawsuit has the potential to influence not only the future of cryptocurrency payments but also the broader scope of digital payment autonomy on major platforms.