Three iOS users sue Apple for negligence after losing $1.8 million worth of bitcoin by downloading a fake Sparrow Wallet app

ChainCatcher news, according to MacRumors, three iOS users filed a lawsuit against Apple in the federal court of California, alleging that after downloading counterfeit Sparrow Wallet apps from the App Store between May and August 2025, the three of them lost a total of about 1.8 million US dollars worth of Bitcoin.

The lawsuit claims that even when victims report fraudulent activity, Apple often takes little or no action, and other fake Sparrow apps remain on the App Store. Craig Raw, the developer of Sparrow Wallet, publicly criticized Apple for responding slowly to multiple counterfeit versions of his app appearing on the App Store, failing to promptly remove fake apps, and even for other fake versions still existing now.