Coinbase: Apple demands commission on NFT transaction fees

Crypto trading platform Coinbase has made new allegations against Apple: Apple forced the removal of a key feature by blocking app updates, Coinbase explained on Twitter. With the wallet’s iOS app, it is therefore no longer possible to send non-fungible tokens (NFTs) to another wallet.

NFT as in-app purchase

Apple insists that transaction fees for the transfer of NFTs – so-called “gas fees” – must be processed through the platform operator’s in-app purchase interface. In this way, Apple can also retain 30 percent commission on the purchase of digital content in the app. This isn’t technically possible because Apple’s in-app purchase interface doesn’t support cryptocurrencies at all, Coinbase writes, adding that you can’t even comply with the specification if you want to pay commission on transaction fees.

For iPhone users with Coinbase Wallet, it will be more difficult to transfer NFTs to other wallets, writes the crypto trading platform. Thus Apple is protecting its profits at the expense of customer investment in NFTs and developer innovations in the crypto space. At the same time, Coinbase hopes that Apple will be understanding and open to further negotiations.

Apple establishes NFT rules

Apple recently clarified its App Store rules for handling NFTs. iOS apps are allowed to view, broadcast, and even mine NFTs and related services, but only if done through Apple’s in-app purchase interface. A similar requirement usually applies to the sale of digital content in apps, where Apple also takes a commission.

Coinbase has long been critical of Apple: the company’s rules are intended to protect users, but above all they will also protect Apple from competition, Coinbase boss Brian Armstrong explained two years ago.

(LBE)