US Senator Slams Google and Apple for Scam Crypto Apps

The CEOs of Apple and Google have received a letter from a U.S. senator requesting that they take action against fake cryptocurrency apps.

Sen. Sherrod Brown, the chair of the Senate Banking Committee, has questioned the tech titans about how they review and approve cryptocurrency trading and wallet applications for the Google Play and Apple App Stores.

Separate letters were sent by the senator to Apple CEO Tim Cook and Google CEO Sundar Pichai. Millions of Americans buy in unregulated digital assets, such as cryptocurrency, using smartphone apps, according to Brown.

"While crypto applications have provided investors with simple and practical tools to trade cryptocurrencies, allegations of bogus crypto apps that have conned hundreds of investors have emerged," the author continued.

Brown also made mention of the FBI's most recent report on the expansion of fake bitcoin mobile apps created by cybercriminals to defraud investors.

The FBI claims that in one instance, cybercriminals tricked at least two dozen investors by making a mobile app with the name and logo of a legitimate trading platform.

The agency identified 244 victims of crypto crimes and put the loss brought on by these crimes at about $42.7 million.

Brown has responded by requesting information about the companies' assessment processes, the measures taken to ensure that the operators do not violate policies, and specifics regarding the companies' individual reporting practices for fraudulent applications.

Google and Apple have been requested to provide specifics regarding the precautions they take to maintain client protection and fraud awareness, as well as the initiatives they have made to combat these activities since the beginning of 2020.

Responses from the companies are due by August 10th.

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