Three iOS users lost 1.8 million dollars in Bitcoin due to downloading a counterfeit Sparrow Wallet and are suing Apple for inaction

According to MacRumors, three iOS users have sued Apple in a federal court in California, alleging that after downloading counterfeit Sparrow Wallet applications from the App Store between May and August 2025, they collectively lost approximately $1.8 million in Bitcoin.

The lawsuit claims that even when victims reported fraudulent activity, Apple often took little or no action, and other fake Sparrow applications remained in the App Store. Craig Raw, the developer of Sparrow Wallet, publicly criticized Apple's slow response to the multiple counterfeit versions of his app appearing in the App Store, failing to promptly remove the fake apps, and noted that other fake versions still exist.