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Apple Applies 30% App Store Fee to NFTs

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apple newly dropped app store Policy to formally allow in-app purchases of non-fungible tokens (NFTs) on the platform, but subject to a 30% transaction fee. de facto ban at their sale.

In addition to applying standard mandatory commissions on NFT sales, App store guidelines The app announced on Monday (October 24th) should also have all the required features. license in all regions where they are sold.

By doing so, Apple NFT holding content Art, video, music and more from other cryptocurrencies such as Bitcoin, Ethereum and Dogecoin can be sold on exchanges such as binance, coin base When FTX Without using Apple’s in-app purchase platform.

Aside from the 30% fee, which is widely considered a breach of contract in itself, Apple’s in-app purchases do not support crypto as a payment currency. This is a big problem as most NFT marketplaces price their tokens in Ether and other digital assets. Only recently has it started accepting payments in dollars.

no thanks

As a result, the NFT marketplace refused to go Apple’s way. It’s not hard to see why.but NFT sales According to Dune Analytics, NFT sales were down 97% in September from $17 billion in January. Apple would have made $140 million last month if those sales were via apps.

top marketplaces and more high seasprovides an Apple app that can only be used for browsing. magic edenMarketplace on Solana The top blockchain alternative to Ethereum for creating NFTs simply decided: give up apple apps For Price, Co-Founder and Chief Technology Officer Sydney Chan told the information.

Most NFTs are made on Ethereum, but the cost can be prohibitive, with $50 to $75 being called a fairly common price.

Marketplaces aren’t the only ones avoiding Apple apps, as NFT sellers are typically charged a 3% to 5% fee on top of the issuance fees charged by the blockchain. Sellers are not interested in taking such a hit with peer-to-peer (P2P) transactions.

But it’s not just NFT sales that are restricted by Apple’s restrictions.

The new rules state that “Apps may allow users to view their own NFTs unless ownership of the NFT unlocks features or functionality within the app” and “Apps may use their own mechanisms to It cannot be used to unlock content or features such as license keys.” , augmented reality markers, QR codes, cryptocurrencies, cryptocurrency wallets and more. ”

This may exclude other features that some NFTs offer, such as functioning as tickets for events, proof of payment for products, or providing access to special content.

broader opposition

Not surprisingly, Apple’s rule capitalizes on broader objections to the company’s control over payments.

epic games CEO Tim Sweeney is suing Apple over in-app payment rules after launching popular app fortnite After allowing in-app purchases, it removed the game from the App Store, and Apple took to Twitter to accuse it of “shattering another nascent technology” with its “oddly overpriced in-app payment service.”

A September ruling in that case ordered Apple to allow other in-app payments, but refused to call the overall control of iPhone apps or the way developers can process payments an illegal monopoly. It may be delayed while the appeal proceeds. However, the European Union is considering banning Apple’s refusal to allow the use of third-party apps unless they are uploaded through the App Store.

Beyond that, a crypto investment and services company galaxy digital It further argued that Apple’s 30% NFT fee is a policy that limits the widespread adoption of Web3 technology.

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https://www.pymnts.com/apple/2022/apple-hikes-music-tv-prices-for-first-time/partial/

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