Apple, Google Under Scrutiny for Approving Fraudulent Crypto Apps
Sen. Sherrod Brown has written letters to Apple CEO Tim Cook and Google CEO Sundar Pichai this week, asking that the companies explain their processes in approving crypto trading and wallet apps on their respective app stores.
The inquiry follows a recently released FBI report warning that 244 investors have been scammed out of $42.7 million from fraudulent cryptocurrency apps in less than a year.
Fraudulent crypto apps have scammed investors out of more than $42.7 million since October 2021. https://t.co/MB19fX4B7K
— NBC4 Washington (@nbcwashington) July 20, 2022
“Crypto mobile apps are available to the public through app stores, including Apple’s App Store,” the senator wrote to Cook in his letter.
“While cryptocurrency apps have offered investors easy and convenient ways to trade cryptocurrency, reports have emerged of fake crypto apps that have scammed hundreds of investors.”
In the letters, Brown asked the CEOs to detail their crypto app review and monitoring processes to prevent apps from “transforming into phishing” scams. He’s also looking for any information Apple and Google have provided consumers about fake investment apps.
Apple and Google have not yet issued any official statements regarding the matter. They have until August 10th to respond to the senator’s requests.