TikTok Suspends Reward Feature Amid Regulatory Scrutiny

TikTok Lite users in Europe are facing a setback as the platform suspends its reward feature following regulatory concerns raised by European authorities.

The feature, which allowed users to earn a small amount each day for engaging with videos, has been halted by TikTok in response to an inquiry initiated by European regulators over potential addiction risks, particularly among young users.

The TikTok Lite app, designed as a lightweight alternative for regions with slower internet connections, recently launched in two EU countries, offering users the opportunity to earn rewards through daily engagement with content.

However, concerns raised by European regulators prompted TikTok to take swift action, suspending the reward feature in the EU while it addresses the investigation.

TikTok Lite, popular for its accessibility on slower networks, has been available in parts of Asia for several years before its recent expansion into Europe, with launches in France and Spain.

The platform's rewards hub incentivized users with virtual "coins" for various actions such as logging in, watching ads, and liking videos, which could then be redeemed for Amazon vouchers and PayPal gift cards.

However, the earning potential was limited, with an hour of video engagement yielding only about 36 euro cents (or 38 cents).

Citing concerns under the EU's Digital Services Act, the European Commission highlighted worries about the potentially addictive nature of the reward feature, particularly its impact on children.

Although TikTok clarified that the feature was not available to users under 18, the commission's inquiry suggests doubts about the effectiveness of TikTok's age verification measures in preventing underage users from accessing the platform.