TikTok voluntarily suspends reward program after EU threat of ban

Earlier this month, Tiktok launched the Tiktok Lite app in France and Spain, where users can earn reward points for watching videos. The media service Tiktok has voluntarily suspended the reward program of the Tiktok Lite application to address concerns raised by the EU Commission. The company stated that it is striving for constructive cooperation with regulatory authorities and is taking steps to respond to the concerns regarding the impact of the reward program on users’ mental health.

The EU Commission had set a deadline for Tiktok to respond to the concerns, threatening to ban the application if a suitable response was not provided. The concerns revolve around the potential effects of the reward program on users’ mental health. Tiktok’s Tiktok Lite app includes a reward program for users over 18 years old, allowing them to earn points by completing tasks such as watching videos, liking content, or following other users. These earned points can be exchanged for rewards like Amazon discount coupons or Tiktok virtual coins.

The EU Commission requested Tiktok to provide information on the risk assessment of the reward program within 24 hours, focusing on the potential effects on users’ mental health and addiction to the application. Failure to comply led to the Commission initiating an official investigation into Tiktok under the Digital Services Act. This is the second official procedure against Tiktok under this act, with the Commission looking into various regulations related to user protection and platform transparency.

The Digital Services Act requires large online platforms to address social risks such as illegal content and online disinformation, with potential fines for violations. Tiktok is now facing scrutiny for its reward program and must navigate the regulatory landscape to ensure compliance with EU regulations. The concerns raised by the EU Commission highlight the importance of user protection and responsible platform management in the digital age.