IPhone 4s screen — Stock Editorial Photography

‘Apple must be stopped’: Tech giant admits NFTs to App Store, but wants 30% cut

Apple’s long-running feud with developers over its hefty cut on the App Store has spilled to the non-fungible token (NFT) sector, with many NFT marketplaces now up in arms over the 30% cut.

Despite the criticism and even antitrust lawsuits, the tech giant has held onto its 30% fee for in-app purchases on the App Store. NFT companies with apps on the App Store have also had to adhere to the same cut, and many find the fee unsustainable.

Speaking to The Information, Sidney Zhang, the cofounder of Solana-based NFT marketplace Magic Eden criticized the cut, saying that it’s stifling innovation. He claims that his marketplace has withdrawn its NFT trading service from the App Store after learning of the policy, and even though Apple offered to slash the fee to 15%, Magic Eden will not be returning to the platform.

Zhang isn’t alone in his criticism of the tech giant’s business model. Blockchain startup Pocket Network founder Arthur Sabintsev told the outlet that the policy “makes it really hard to price [the NFT] because you have to program all these values in dynamically.” 

“It feels like the position is that Apple doesn’t really want [App Store] users to be able to purchase or sell NFTs. [It’s] almost impossible because it’s fixed subscriptions or fixed prices,” Alexei Falin, the CEO of Rarible, one of the largest NFT marketplaces globally, added.

It’s not just with the fees that Apple is stifling NFT innovation, Falin added. He revealed that it took the company several months to admit Rarible into the App Store, a process that took Google Play Store a few days.

The steep cut on in-app NFT sales has been criticized beyond the digital asset industry, with Epic Games CEO Tim Sweeney terming it a “grotesquely overpriced in-app payment service.” Sweeney went up against Apple in court last year after Apple took down Fortnite from the App Store, but the tech giant ended up winning.

Watch: The BSV Global Blockchain Convention presentation, Buzzmint: Elevating NFTs

New to Bitcoin? Check out CoinGeek’s Bitcoin for Beginners section, the ultimate resource guide to learn more about Bitcoin—as originally envisioned by Satoshi Nakamoto—and blockchain.

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