Apple faces $1.8M lawsuit over fake Bitcoin app

Apple is facing a federal lawsuit from three users who allege fraudulent Sparrow Wallet applications distributed through its App Store caused about $1.835 million in Bitcoin losses. Summary Three users allege Sparrow apps drained $1.835 million in Bitcoin between May and August 2025. Sparrow’s official downloads support macOS, Windows and Linux, but no iOS application exists at present. Apple says it promptly removed impersonating apps and terminated developer accounts linked to those listings. James Ramirez, Christopher Ellis and Jalen Delgado filed the 54-page complaint on July 24 in the U.S. District Court for the Northern District of California. The allegations have not been tested in court, and Apple has not yet filed a public response in the case. The public docket identifies the action as Ramirez et al. v. Apple Inc., case 5:26-cv-07713. It currently shows the complaint, a civil cover sheet and an unexecuted summons filing. No judge has ruled on Apple’s responsibility for the alleged thefts. Fake Sparrow apps allegedly captured seed phrases The complaint says Delgado downloaded a spoof application around May 1, 2025 and lost about $120,000. Ramirez allegedly downloaded anoth...