In a response to the class action lawsuit regarding the Sparrow Wallet app in the App Store, Apple told MacRumors that it has “taken swift action to remove any apps impersonating Sparrow Wallet on the App Store and to terminate developer accounts associated with those apps.”
The tech giant said developers who suspect that content available on an Apple service infringes on their intellectual property rights can submit a dispute form to Apple’s legal department, and customers can report App Store scams or frauds too. Apple told MacRumors that it takes immediate action against apps that don’t comply with its guidelines.
Apple is facing a new lawsuit from three customers who allegedly lost a combined US$1.8 million after falling victim to a fake Bitcoin wallet app in the App Store, according to a complaint filed in California federal court on Friday.
The complaint is about Apple’s “negligent and misleading representations regarding the safety and integrity of its App Store, and from Apple’s defective design, manufacture, and operation of the App Store platform, which Apple knew or should have known was being exploited by cybercriminals to steal funds from Apple’s own customers.”
The plaintiffs also claim that despite its extensive marketing efforts, Apple has failed to devote the necessary attention and oversight to adequately review and monitor applications distributed through the App Store. They claim this failure has allowed cybercriminals to exploit the trust, and reputation, Apple has cultivated, resulting in the theft of funds from Apple’s own customers.
The plaintiffs says they relied on Apple’s repeated assurances and long-standing marketing campaign portraying the App Store as a safe and trusted marketplace when they downloaded what appeared to be the legitimate Sparrow digital asset storage and trading application [a Bitcoin wallet].
The plaintiffs James Ramirez, Christopher Ellis, and Jalen Delgado had Bitcoin amounts that were worth approximately $875,000, $840,000, and $120,000 respectively stolen via the app from May to August of 2025, according to the complaint. They’re The seeking damages, including reimbursement of all funds wrongfully lost through the Sparrow app.
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