Steve Wozniak’s Five-Year Legal Battle Against YouTube Over Crypto Scams Highlights Section 230 Debate

Apple co-founder Steve Wozniak remains embroiled in a five-year legal battle against YouTube, a subsidiary of Google, over the platform’s alleged failure to remove fraudulent cryptocurrency scams that exploited his image. The lawsuit, stemming from a bitcoin scam that cost victims tens of thousands of dollars, is reportedly stalled by Section 230 of the Communications Decency Act.

Wozniak and his wife, Janet, reported scam videos featuring him promoting a fake bitcoin doubling scheme multiple times, but claim YouTube failed to act. One victim, Jennifer Marion, lost 0.9 bitcoin, valued at $59,000 at the time, expecting a double return. Wozniak, a pioneer of the personal computer, argues that YouTube has a responsibility to combat such criminal activity on its platform, likening it to a ‘crime’ that should be stopped.

The core of the legal stalemate lies with Section 230, a 1996 federal law that largely shields online platforms from liability for content posted by their users. Wozniak’s lawyer, Brian Danitz, emphasizes the broad nature of the statute, which severely limits the ability to sue social media companies. Google, through a policy communications representative, stated they take abuse seriously and have tools for users to report violations, yet Wozniak’s team asserts their reports were ignored.

Beyond his personal ordeal, Wozniak expressed concern over the broader exploitation of the internet, lamenting the shift from a tool for information democratization to one where companies prioritize profit through user tracking. The ongoing legal fight underscores the urgent debate surrounding platform accountability and the need for more robust measures against pervasive online scams, including those leveraging AI, which are estimated to cause billions in losses annually.

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