Consumer protection

Court rules against Craig Wright’s Bitcoin inventor claim

Craig Wright, an Australian computer scientist, has been found in contempt of court for falsely asserting he is Bitcoin’s creator, Satoshi Nakamoto. Despite a High Court ruling in March debunking his claim, Wright continued launching lawsuits seeking intellectual property rights over Bitcoin, including a $1.2 trillion demand.

The court described Wright‘s actions as ‘legal terrorism’ and sentenced him to a suspended 12-month prison term. If he persists, he risks jail time. Wright’s claim lacked concrete evidence, prompting the cryptocurrency industry to unite against him.

The court found Wright ‘lied extensively’ in his pursuit of recognition, creating a ‘chilling effect’ on the industry. The identity of Bitcoin’s inventor, Satoshi Nakamoto, remains unknown, as all claims, including Wright’s, have been discredited.

Crypto scam revealed at freelancer gathering in Paris

During a freelancer meetup at Café Oz in Paris on 3 December, Scott Horlacher, a software engineer, found himself caught in a crypto scam. While discussing with two individuals who claimed to represent a new crypto exchange called Lainchain, Horlacher grew suspicious. The platform’s design and its request for users to input wallet seed phrases instead of standard security measures made Horlacher realise he was dealing with a scam.

After confronting the duo, they swiftly left the event. Horlacher, along with others, began to warn fellow attendees. A subsequent investigation by AMLBot, a blockchain forensics firm, revealed that Lainchain was a sophisticated phishing scam designed to steal personal and wallet information from users. The scam relied on fake identities and social engineering tactics to deceive victims.

Lainchain’s website appeared professional but was full of red flags, including the manipulation of wallet access and demands for seed phrases. The platform’s hosts were found to be connected to other fraudulent websites, and investigations showed their use of stolen identities to create false legitimacy. The scammers also exploited Telegram and other social media platforms to lure victims.

This case serves as a reminder of the growing threat of phishing scams in the crypto space. Users are urged to be cautious of any platform requesting private keys or seed phrases and to verify the legitimacy of any crypto-related website or service before engaging with it.

US Supreme Court to hear TikTok’s bid to block ban

The US Supreme Court has agreed to review a case involving TikTok and its Chinese parent company, ByteDance, in a challenge against a law requiring the app’s sale or a ban in the US by January 19. The court will hear arguments on 10 January but has not yet decided on TikTok’s request to block the law, which it claims violates free speech rights under the First Amendment. TikTok, used by 170 million Americans, argues the law would harm its operations and user base, while US officials cite national security concerns over data access and content manipulation.

The Justice Department has labelled TikTok a significant security risk due to its Chinese ownership, while TikTok denies posing any threat and accuses lawmakers of speculation. The law, passed in April and signed by President Biden, would ban the app unless ByteDance divests its ownership. The company warns that even a temporary shutdown could damage its US market share, advertising revenue, and ability to recruit creators and staff.

The case also reflects heightened tensions between the US and China over technology and trade policies. TikTok’s fate could set a precedent for the treatment of other foreign-owned apps, raising questions about free speech and digital commerce. The Supreme Court’s decision may have far-reaching implications for the platform’s future and US-China relations.

Apple criticises Meta’s requests for access to iPhone tools

Apple has accused Meta of making excessive interoperability requests that could compromise user privacy and security, intensifying the rivalry between the two tech giants. Under the European Union’s Digital Markets Act (DMA), Apple must allow competitors access to its services or face significant fines. Apple claims Meta’s 15 requests — more than any other company — could expose sensitive data like messages, emails, and passwords.

Meta, which seeks integration for products like its Quest VR headsets and smart glasses, dismissed Apple’s privacy concerns as a cover for anticompetitive practices. Apple cited Meta’s past privacy violations in Europe as a reason for caution.

Meanwhile, the European Commission has outlined measures to ensure Apple complies with the DMA, including clear timelines and feedback mechanisms for developers. A final decision on Apple’s compliance with the law is expected in March 2025.

Italian watchdog concludes Booking.com investigation

Italy’s antitrust authority has concluded its investigation into Booking.com, finding the travel giant’s proposed changes sufficient to resolve concerns about its dominance in the market. The probe, which began in March, scrutinised whether the company’s practices restricted competition and led to higher prices for consumers.

The Italian watchdog highlighted that Booking.com’s Preferred Partner Programme risked stifling competition by favouring certain hotels while reducing consumer choice. As part of its commitments, the platform agreed not to consider prices offered by hotels on other booking channels when managing or promoting participating properties.

These adjustments are intended to ensure fairer competition in the online travel sector, preventing practices that could inflate costs or limit options for users. By addressing these issues, Booking.com avoids further regulatory action and strengthens its position in Italy’s travel market.

Netflix fined for failing to inform customers about data usage

The Dutch Data Protection Authority (DPA) has imposed a €4.75 million ($4.98 million) fine on Netflix for not adequately informing its customers about how their personal data was being used between 2018 and 2020. The fine follows a detailed investigation that began in 2019, which revealed that Netflix’s privacy statement was insufficiently clear regarding the company’s data practices. Specifically, the DPA found that the streaming giant did not provide customers with enough information on how their data was being processed or used.

The investigation also uncovered that when customers sought to understand which personal data Netflix was collecting, they did not receive clear answers. This lack of transparency was deemed a violation of the General Data Protection Regulation (GDPR), which sets strict requirements on companies to protect user privacy and ensure clear communication about data usage.

In response to the findings, Netflix has since updated its privacy statement and improved how it informs customers about its data collection practices. Despite these changes, the company has objected to the fine, though it did not provide a comment when approached by the press.

This fine highlights the increasing scrutiny on companies to comply with GDPR and underscores the importance of clear, transparent data handling practices, especially for tech giants like Netflix that handle vast amounts of personal information.

TP-Link faces US ban amid cybersecurity concerns, WSJ reports

US authorities are weighing a potential ban on TP-Link Technology Co., a Chinese router manufacturer, over national security concerns, following reports linking its home internet routers to cyberattacks. According to the Wall Street Journal, the US government is investigating whether TP-Link routers could be used in cyber operations targeting the US, citing concerns raised by lawmakers and intelligence agencies.

In August, two US lawmakers urged the Biden administration to examine TP-Link and its affiliates for possible links to cyberattacks, highlighting fears that the company’s routers could be exploited in future cyber operations. The Commerce, Defence, and Justice departments have launched separate investigations into the company, with reports indicating that a ban on the sale of TP-Link routers in the US could come as early as next year. As part of the investigations, the Commerce Department has reportedly subpoenaed the company.

TP-Link has been under scrutiny since the US Cybersecurity and Infrastructure Agency (CISA) flagged vulnerabilities in the company’s routers, that could potentially allow remote code execution. This comes amid heightened concerns that Chinese-made routers could be used by Beijing to infiltrate and spy on American networks. The US government, along with its allies and Microsoft, has also uncovered a Chinese government-linked hacking campaign, Volt Typhoon, which targeted critical US infrastructure by taking control of private routers.

The Commerce, Defence, and Justice departments, as well as TP-Link, did not immediately respond to requests for comment.

Meta data breach leads to huge EU fine

Meta has been fined €251 million by the European Union’s privacy regulator over a 2018 security breach that affected 29 million users worldwide. The breach involved the ‘View As’ feature, which cyber attackers exploited to access sensitive personal data such as names, contact details, and even information about users’ children.

The Irish Data Protection Commission, Meta’s lead EU regulator, highlighted the severity of the violation, which exposed users to potential misuse of their private information. Meta resolved the issue shortly after its discovery and notified affected users and authorities. Of the 29 million accounts compromised, approximately 3 million belonged to users in the EU and European Economic Area.

This latest fine brings Meta’s total penalties under the EU’s General Data Protection Regulation to nearly €3 billion. A Meta spokesperson stated that the company plans to appeal the decision and emphasised the measures it has implemented to strengthen user data protection. This case underscores the ongoing regulatory scrutiny faced by major technology firms in Europe.

TikTok appeals to Supreme Court to block looming US ban

TikTok and its parent company, ByteDance, have asked the Supreme Court to halt a US law that would force ByteDance to sell TikTok by 19 January or face a nationwide ban. The companies argue that the law violates the First Amendment, as it targets one of the most widely used social media platforms in the United States, which currently has 170 million American users. A group of TikTok users also submitted a similar request to prevent the shutdown.

The law, passed by Congress in April, reflects concerns over national security. The Justice Department claims TikTok poses a threat due to its access to vast user data and potential for content manipulation by a Chinese-owned company. A lower court in December upheld the law, rejecting TikTok’s argument that it infringes on free speech rights. TikTok maintains that users should be free to decide for themselves whether to use the app and that shutting it down for even a month could cause massive losses in users and advertisers.

With the ban set to take effect the day before President-elect Donald Trump’s inauguration, TikTok has urged the Supreme Court to decide by 6 January. Trump, who once supported banning TikTok, has since reversed his position and expressed willingness to reconsider. The case highlights rising trade tensions between the US and China and could set a precedent for other foreign-owned apps operating in America.

Meta resolves Australian privacy dispute over Cambridge Analytica scandal

Meta Platforms, the parent company of Facebook, has settled a major privacy lawsuit in Australia with a record A$50 million payment. This settlement concludes years of legal proceedings over allegations that personal data of 311,127 Australian Facebook users was improperly exposed and risked being shared with consulting firm Cambridge Analytica. The firm was infamous for using such data for political profiling, including work on the Brexit campaign and Donald Trump’s election.

Australia’s privacy watchdog initiated the case in 2020 after uncovering that Facebook’s personality quiz app, This is Your Digital Life, was linked to the broader Cambridge Analytica scandal first revealed in 2018. The Australian Information Commissioner Elizabeth Tydd described the settlement as the largest of its kind in the nation, addressing significant privacy concerns.

Meta stated the agreement was reached on a “no admission” basis, marking an end to the legal battle. The case had already secured a significant victory for Australian regulators when the high court declined Meta’s appeal in 2023, forcing the company into mediation. This outcome highlights Australia’s growing resolve in holding global tech firms accountable for user data protection.