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Jack Dorsey Challenges Apple CEO Tim Cook Over Bitcoin's Compatibility with Apple Pay

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Marthon Guanzon reporter

Wed, 28 Jun 2023, 15:19 pm UTC

Clash Over Damus App's Bitcoin Integration Reignites Debate on App Store Policies and Crypto Adoption

Block's CEO and former Twitter chief, Jack Dorsey, has publicly challenged Apple's head honcho, Tim Cook, demanding a clear explanation as to why Bitcoin is not compatible with Apple's mobile wallet, Apple Pay.

The controversy began on Tuesday when Apple hinted at the possibility of expelling Damus, a Bitcoin-friendly social media app, from the App Store due to a violation of platform regulations. In response, Dorsey took to Twitter, his former domain, to directly address Cook and inquire why Apple Pay refuses to embrace Bitcoin.

The issue gained traction when an App Store reviewer suggested integrating Apple Pay as a solution to rectify Damus's violations. Dorsey retweeted this comment, sparking a broader conversation. The dispute revolves around Damus founder William Casarin's allegation that Apple threatened to remove his app due to its acceptance of Bitcoin tips or "zaps" for in-app purchases, which contradicts Apple Pay's policy that excludes cryptocurrencies.

This incident reignites the debate over whether Apple holds excessive power over consumer apps and inadvertently strengthens the campaign of cryptocurrency advocates for a financial system that is resistant to censorship. The integration of Bitcoin into Apple Pay could potentially introduce the vast user base of over 500 million Apple Pay users to the world of cryptocurrencies.

Built on the Nostr protocol, Damus offers a decentralized social media platform that specifically appeals to Bitcoin users. Earlier this year, Damus became available on the App Store. However, it now faces the possibility of being delisted due to its "zaps" feature, which enables users to tip their preferred content creators through Bitcoin transactions on the Lightning Network, similar to Twitter's "tip" feature.

According to Apple, this feature violates their guidelines. Casarin proposed limiting zaps to user profiles only, while Apple insisted on their complete removal. Despite Casarin's adjustments, Apple remains unsatisfied and rejected the resubmission. Dorsey argued that tipping does not equate to unlocking content, and Apple's move to restrict Damus could impede global Bitcoin adoption.

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