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Keep your assets secure

Apple Sued Over Fraudulent Crypto Wallet App on App Store, Users Lost $1.8M

Enforcement Actions Security Incidents

2026-07-28 01:45:51

According to TechCrunch, Apple faced a lawsuit over App Store security following a Sparrow Wallet scam. Three plaintiffs alleged they were misled into downloading a fraudulent version of the Sparrow Wallet application—which has no official iOS release—and collectively lost over $1.8 million. Individual losses were James Ramirez $875,000, Christopher Ellis $840,000, and Jalen Delgado $120,000. The lawsuit accuses Apple of knowingly allowing the fraudulent app to remain on App Store while using security assurances as marketing to resist third-party app stores and sideloading. Plaintiffs demanded jury trial, damages, and public disclosure of App Store risks. Apple stated the counterfeit app violated its guidelines and would be removed promptly.

Disclaimer: The information on this page may come from third-party sources and is for reference only. It does not represent the views or opinions of Gate and does not constitute any financial, investment, or legal advice. Virtual asset trading involves high risk. Please do not rely solely on the information on this page when making decisions. For details, see the Disclaimer.

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