TikTok has decided to suspend its Lite app, which paid users to watch videos or recommend other users. The app was launched as a test in Spain and France and faced criticism from the European Commission, which threatened to block it if TikTok did not provide guarantees that minors would not access it or become addicted to it. The suspension, currently for 60 days, could be extended as conversations with the European Commission continue.
The Lite app was designed to provide rewards to users for engaging with the platform, with the goal of attracting more adult users to TikTok. However, concerns were raised about the lack of age verification measures and potential risks of addiction, particularly for children. Despite TikTok’s assertion that the app was targeted at adults, there were loopholes that could allow minors to access it.
In addition to challenges in Europe, TikTok is also facing difficulties in the United States. President Joe Biden signed a law giving ByteDance, which owns TikTok, nine months to sell the app or face a ban in the country due to concerns about potential Chinese government influence and data privacy issues.
Users who had already downloaded the Lite app and registered for rewards will still be able to redeem their rewards for a few more days before it is suspended completely. The decision by TikTok was voluntary in order to address concerns raised by regulators and ensure compliance with regulations across both Europe and North America. It highlights how companies must navigate regulatory environments while maintaining their business operations
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