According to the decentralized social networking app, it was a turning point for peer-to-peer transactions and would have an impact on many other platforms that offer comparable functionality.
According to a warning letter from Apple, the decentralized social media software Damus can be kicked out of the Apple software Store because of its Bitcoin tipping function. Users can tip friends and content producers with Bitcoin utilizing the “Zaps” function of the app, which makes use of the Lightning Network widget.
Apple claimed that the Zaps function broke its rule that only allows in-app purchases for tipping features. Apple mandates that customers use in-app purchases if they are connected to getting digital material, even though the tipping feature is optional.
The Damus team views this as a pivotal moment with ramifications for peer-to-peer (P2P) supported platforms. They made it clear that Damus does not offer digital goods for sale; rather, it supports P2P exchanges by way of tip buttons, much like Venmo or Cash App.
On social media sites like Twitter and Reddit, crypto tipping has grown in popularity. It makes P2P transactions possible without the use of middlemen. It’s interesting to note that in 2015, Apple authorized the “Game of Birds” app with Bitcoin tipping.
Walker, one of the developers, said that Damus does not offer digital content for sale, therefore Apple’s worries about Zaps are unfounded. The developer asked Apple to correct its error.
The likely removal of Damus from the App Store brings attention to the continued difficulties platforms using bitcoin features face, as well as the requirement to follow regulatory policies and guidelines.
The conflict between Damus and Apple highlights how the world of digital currency is changing and raises concerns about the adoption and regulation of crypto-related features in well-known app stores.