Politicians and law enforcement are now looking closely at how Apple and Google look into fake crypto apps. Scammers have stolen billions of dollars from investors in cryptocurrencies and NFTs over the past few years.
Sen. Sherrod Brown (D-OH) has asked both Apple and Google to explain why they let crypto trading and wallet apps into their app stores. A year ago, the FBI sent out a warning about how 244 investors had lost $42.7 million to fake Bitcoin apps. Stopping mobile app fraud means making sure that app stores have enough security measures in place.
Senator Cook wrote a letter to Apple on Thursday saying that there are crypto apps in the app store. Fake bitcoin apps are said to have taken hundreds of investors for a ride. Neither Apple nor Google said anything quickly.
This month, agencies like the FBI and the Justice Department started taking action against scammers. Even as Bitcoin and other cryptocurrencies lost value, the number of scams increased.
Brown told CEOs that to stop “phishing” attacks, companies should explain how they evaluate and monitor their crypto apps. When it comes to fake investment apps, he wants Apple and Google to weigh in.
Even though crypto investment firms and other businesses like them should take steps to stop fraud, like telling customers about the rise in fraud. The senator says that app stores should also take steps to stop fraud from happening with mobile apps.
Sen. Brown’s Senate Banking Committee looked into the matter before a meeting with cryptocurrency experts to talk about how to stop fraud in the crypto and securities markets. The deadline for Apple and Google to respond is August 10.