Apple Confirms that 30% Tax Rule on Crypto and NFTs will Stay

As per the report, the United States Supreme Court denied a plea from Epic Games to immediately relax Apple’s App Store payment regulations, which could have helped crypto and NFT apps users.

Apple Remains Stubborn

In an Aug. 9 decision, Supreme Court justice Elena Kagan rejected a federal appeals court’s judgment to take effect, as Epic had asked for.

Notably, the Ninth Circuit Court of Appeals found in April that Apple broke California’s competition laws by prohibiting apps that guided users to non-Apple related payment systems. 

Epic Games Unable to Direct Users to Alternate Payment Methods

This verdict came about as a hope for companies such as Epic Games to be able to redirect consumers to alternate payment methods, offering them a way to avoid Apple’s 30% fee.

However, following the Supreme Court’s most recent judgment, there is no way for buying an NFT on an app featured on Apple’s App Store besides using the in-app payments system, which requires a commission of thirty percent and accepts fiat payments only.

No Change in Policies

In response to Justice Kagan’s denial of Epic’s request, the platform stated that the court employed a “lax legal standard” which would negatively impact Epic and “innumerable consumers and other app developers for an extended period of time.” 

In response, Apple said that the ban has been in effect for two years and is not applicable to Epic in any case.

Apple and NFTs

Notably, the technology conglomerate finally accepted the inclusion of NFT games and applications to its app Store last year. The newly added apps include NFTs, and developers of current apps can now sell NFTs through its store. However, many people were concerned about the company’s massive 30% commission on every purchase. 

The corporation’s 30% fee sounded inappropriate to developers of projects, apps, and games because standard markets like OpenSea and Magic Eden commonly charge fees of less than 5% generally.

Because of the 30% corporate tax, former Apple employee and MetaMask co-founder Dan Finlay has stated that crypto-related apps should move off of Apple’s App Store. He considers the tax on purchases made through apps as “an abuse of monopoly”.