US Senator Demands Apple and Google Answers on Fake Crypto Apps

US Senator Demands Apple and Google Answers on Fake Crypto Apps

U.S. Senator, Sherrod Brown has demanded answers from Apple CEO Tim Cook and Google CEO, Sundar Pichai about their measures against fake cryptocurrency apps, appearing in the Apple App Store and the Google Play store. "Millions of Americans use mobile apps to invest in unregulated digital assets," said Senator Sherrod Brown. "Reports have emerged of fake crypto apps that have scammed hundreds of investors."

U.S. Lawmaker Questions Apple and Google on Fake Crypto Apps

Senator Sherrod Brown (D-OH), chairman of the Senate Committee on Banking, Housing, and Urban Affairs, sent a letter to Apple CEO Tim Cook and the CEOs of Alphabet and Google, Sundar Pichai, regarding their measures against fake cryptocurrency apps on their platforms.

He stressed that it is "imperative that app stores have the proper safeguards in place to prevent fraudulent mobile application activity."

Senator Brown’s letters followed a warning by the Federal Bureau of Investigation (FBI) against fake cryptocurrency apps that have scammed hundreds of investors for losses of more than USD 42 million.

The lawmaker told the Chief Executives of Apple and Google, "Millions of Americans use mobile apps to invest in unregulated digital assets, including cryptocurrencies," noting that "Crypto mobile apps are available to the public through app stores," including Apple’s App Store and the Google Play store. He added,

"While crypto apps have offered investors easy and convenient ways to trade cryptocurrency, reports have emerged of fake crypto apps that have scammed hundreds of investors."

Senator Brown concluded his letter to Apple and Google by asking five questions, requesting the executives to respond by Aug. 10.

The questions ask the executives to describe their app stores’ app review process, the criteria used to approve an app, the steps taken to prevent crypto apps from circumventing app store policies and turning into phishing apps, and the systems and processes in place for people to report fraudulent apps, and all actions their app stores have taken to alert people about actual or potentially fraudulent activity associated with cryptocurrency investment apps.

The lawmaker told the CEOs that the purpose of the questions was "to better understand the measures your company is taking to prevent fraudulent activity in your app store."