ByteDance, the owner of the TikTok service, announced its decision to abandon the rewards program for users of the light (Lite) version of the application in the countries of the European Union (EU). The move was taken to comply with European Commission requirements under the Digital Services Act (DSA), which came into force last August.
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TikTok Lite’s rewards program allowed users to earn “coins” for various activities on the platform, such as watching videos, liking, following, or inviting friends. This not only stimulated user activity, but also attracted new participants, which, in turn, contributed to the growth of the platform’s audience.
In April, the European Commission required TikTok to conduct a risk assessment related to the launch of TikTok Lite in France and Spain. This was caused by concerns about the possible negative impact of the service on children and the mental health of users. Large online platforms are required by law to disclose the potential risks of new features before they are launched and take steps to address them.
The European Commission said that TikTok has committed to ending its rewards program in the EU and not launching similar programs that could circumvent this decision. Failure to comply with these obligations will constitute a violation of the DSA and may result in significant penalties.
In addition, an investigation is ongoing into whether TikTok may have violated online content rules designed to protect children and ensure advertising transparency. This investigation, which began in February, could result in significant fines for the platform. TikTok’s future in the EU remains uncertain until ongoing investigations are completed, and possible fines could significantly impact the company’s policies and future strategy in the region.