Navigating crypto integration: guidelines and realities in mobile apps
Introduction
The dynamic world of cryptocurrencies, tokens, and non-fungible tokens (NFTs) has opened up exciting possibilities for app developers seeking innovative ways to engage users and monetize content. However, the integration of these technologies comes with a set of guidelines from both the Apple App Store and Google Play Store.
In this article, we'll explore key considerations for incorporating crypto, tokens, and NFTs into mobile applications on both platforms.
App Store Guidelines
Apple App Store
Apple's stringent app review process ensures the quality and security of applications available on the App Store. While this may result in a longer review period, it aims to maintain a high standard for iOS apps.
Cryptocurrency mining within apps is strictly prohibited, with an exception for off-device processing such as cloud-based mining. Virtual currency storage through wallets is allowed, provided it is offered by developers enrolled as an organization.
Unlocking features or functionality within an app must be facilitated through in-app purchases, preventing the use of external mechanisms like license keys, QR codes, cryptocurrencies etc. In-app purchases can be used for selling services related to NFTs.
Apps may allow users to view their NFTs, but NFT ownership does not unlock features or functionality within the app. Users can browse NFT collections owned by others, but apps must not direct customers to purchasing mechanisms outside of in-app purchase.
Google Play Store
Google Play considers blockchain-based content as tokenized digital assets secured on a blockchain.
The purchase, holding, or exchange of cryptocurrencies should be conducted through certified services in regulated jurisdictions. Crypto mining within apps is strictly prohibited.
Apps selling or enabling users to earn tokenized digital assets must declare this via the Financial features declaration form on the App Content page in Play Console. In-app products representing tokenized digital assets should be clearly indicated as such.
Gambling apps integrating tokenized digital assets, such as NFTs, should adhere to Google Play's Real-Money Gambling policy. For other apps, anything of monetary value should not be accepted in exchange for a chance to obtain an NFT of unknown value.
Playstore also mentions clearly that you may not promote or glamorize any potential earning from playing or trading activities.
Reality Check - STEPN App
The integration of cryptocurrencies, tokens, and non-fungible tokens (NFTs) in mobile apps brings forth a set of guidelines from both the Apple App Store and Google Play Store. These guidelines set the framework for developers, aiming to ensure a secure and standardized user experience. However, the reality of how these guidelines are interpreted and implemented can vary.
One such example challenging conventional norms is the STEPN App, available on the App Store. Unlike many apps, STEPN introduces a unique activation process. Users are required to request an activation code from the community via Discord, highlighting a departure from the typical registration process.
Upon entering the app, users are prompted to create a wallet, emphasizing security with the option to import or generate a wallet with a seed phrase and an additional passcode. The wallet encompasses standard functionalities like sending and receiving money, including a built-in swap function for seamless transactions.
Interestingly, the app distinguishes between a spending account and a wallet. Transactions within the app occur through the spending account, not directly from the wallet. Users can even send money to external wallets which is technically providing a loophole for the in-app purchases as you can buy digital assets / tokens on DEXs and transfer them to your wallet within the app.
The app's unique twist involves the purchase of sneakers, which function as NFTs. Available on the in-app marketplace via STEPN Sparks. These STEPN Sparks can be acquired using traditional payment methods like credit cards, deviating from the crypto token norm. The STEPN Sparks can be considered as the traditional coins or gems that we see in non-crypto apps.
Once a user tries to buy a sneaker NFT, a notification alerts users that all NFTs will be temporarily locked within the app. The precise utility of the crypto tokens within the spending account remains somewhat unclear, as all assets are denominated in STEPN Sparks, primarily available via credit card transactions. Discord discussions hint at the use of GMT as a way for levelling up.
Other projects which are experimenting with the guidelines and Web3 elements within their app are Octo Gaming, XCAD Network, WAGMI Games and others.
Conclusion
In the ever-evolving landscape of crypto integration within mobile apps, a key takeaway surfaces: transparency and reasonability are pivotal.
As showcased by the STEPN App and its unique approach, pushing the boundaries of traditional guidelines is possible, as long as developers remain transparent towards the appstores and reasonable in their practices.
Crucially, maintaining open communication with app stores, particularly giants like Apple & Google, and adhering to their revenue-sharing models (typically a 70-30 split) fosters collaboration. Developers who operate within these parameters, clearly outlining crypto and NFT-related functionalities while respecting guidelines, are likely to find a cooperative environment.
By demonstrating adherence to these principles, developers not only pave the way for innovative features but also contribute to a symbiotic relationship with app stores. As the crypto space continues to unfold, the collaboration between app developers and platforms becomes a crucial factor in shaping the future of mobile applications, ensuring a balance between innovation and compliance.