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Apple breaks NFT functionality, boosts social posts with App Store rules TechCrunch

Apple rolled out software updates — iOS 16.1, iPad OS 16.1, and macOS Ventura — to all users on Monday. It also introduces new rules of the App Store limits features unlocked through NFT and requires apps using Apple’s payment method to purchase “boosters” for social media posts.

NFT

The company says apps are allowed to list, mint and transfer, and allow users to view their own NFTs (Non-Fungible Tokens). However, ownership of the NFT will not unlock any more features in the app. Additionally, these apps may allow users to browse other collections, but they may not display external links, buttons, or calls to action to purchase NFTs. Users can only purchase NFT through Apple’s in-app payment system.

The company also prohibits apps that use other mechanisms such as QR codes or cryptocurrencies to grant special access rights to users.

It says: “Apps must not use their own mechanisms to unlock content or functionality, such as license keys, augmented reality markers, QR codes, cryptocurrencies, and wallets. electronics, etc”.

Industry insiders have pointed out that these changes can have a serious impact on the function of depends on web3 application (including games) in the Apple ecosystem. Until now, they could be used NFTs as a way to thwart Apple’s App Store fees and also as a token or key to unlock features for users – but that would not allowed anymore.

Notably, Meta has started rolling out features for users show off their NFTs on both Instagram and Facebook. The company has also expressed its desire to open a marketplace for artists to sell their digital works. But this step by Apple means it may have to pay App Store fees if the market is offered on iOS.

Cryptocurrency Exchange

The company is also cracking down on crypto exchanges as it now requires them to have “appropriate licenses and permissions to offer cryptocurrency exchanges” in all regions in which they operate. So Apple now reserves the right to remove a cryptocurrency exchange from the local App Store if the app is deemed illegal for that region.

Boost your social network

With the new App Store rules, Apple says that marketers don’t need to use in-app purchases to manage and purchase campaigns across different media types like TV, apps, and outdoors. However, they’ll have to use Apple’s in-app purchase system to purchase boosts for social posts—this will only apply to apps that offer in-app tools for advertising post. That means Apple will take a cut of those sales, which could cause platforms to raise fees.

This could affect companies like Meta, TikTok and Tinder, which provide in-app support.

Other changes

  • Apple has now included concepts that profit from current events such as “violent conflicts, terrorist attacks, and epidemics” into objectionable content.
  • Apple is also adding ‘hook’ apps or apps that “may include sexually explicit content or be used to support prostitution or human trafficking and exploitation” in the objectionable content.
  • The company is banning apps that illegally use music from iTunes or Apple Music as background music for games or as background music for videos or collages.
  • Smart home apps that support the Matter IoT standard must use Apple’s support framework to initiate pings.
  • Developers must provide full access to App Store reviewers through an active demo account or demo mode so that they can test the account-based functionalities.

Over the past few years, Apple has had to reduce fees on the App Store and allow third-party payment systems for in-app purchases. much region all around the world. With these new regulations, the company has added possible new ways to make money using the App Store. These changes also raise concerns regarding Apple anti-competitive practices and Its tight control about how apps conduct their business on the App store.




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