Apple Removes NFT Apps That Claimed Misleading Users

JAKARTA - Unlike other technology companies, Apple is quite different towards NFT applications, in that it has just removed the NFT market application, Sticky from its App Store.

Sticky has been around for months, and Apple approved more than half a dozen updates to apps that used the term "NFT" but were eventually removed from its online store.

However, Apple eventually told Sticky that using the term NFT for digital collections was misleading because it wasn't printed onto a decentralized public blockchain.

NFTs do not have a typical blockchain address and are not bought and sold using cryptocurrencies. Many users also agree that this is not what they consider an NFT transaction.

Unfortunately, Apple was reluctant to give Sticky time to make changes to the app before pulling it from the App Store.

In fact, Apple allows the OpenSea NFT marketplace to launch apps, but only to explore NFT not to buy and sell them. But the lack of official guidelines around NFT on iOS has made it difficult for app developers to know where the limits are in terms of what's allowed and what isn't.

Launching TechCrunch, Friday, April 8th, as the name implies, Sticky started out as a tool for creating stickers in 2020. But it was later redesigned to focus on NFT when the previous model couldn't work financially.

The latest version of the app allows creators to print NFTs on Sticky ledgers. Users can also only sell items created in Sticky within the app, where NFT images appear with a watermark unless the user already has one.

This prevents their work from being copied and resold in other markets such as OpenSea. Sticky transactions are carried out using StickyCoin, which is not a cryptocurrency..

StickyCoin itself is purchased in packages using standard in-app purchases. This decision is an attempt to play by Apple's rules.

“Apple has some limitations on cryptocurrency applications. While there is no rule that explicitly prohibits offering in-app currency that is also a cryptocurrency, we thought it would be best to avoid that problem, so StickyCoin is just a regular in-app currency," said Daily Apps and Sticky founder Alan Lammiman.

Creators can only cash out their NFT sales after meeting anti-fraud requirements, including providing their name, photo and real address. However, people are calling Sticky a scam or misleading app because collectibles are purchased using in-app coins, not cryptocurrencies.

Sticky is trying to appeal the takedown on its App Store. It sends an update that allows users to export their NFTs collected on Sticky to the public blockchain. This is intended to allay fears over Sticky's control and complaints that the use of the word NFT is misleading users.

For information, data from Sensor Tower states that 484,000 Sticky had been installed before being removed from the App Store. This app has received 1,125 reviews and 26,273 ratings and has a rating of about 4.6 stars.