EU Fines X £105m Over Deceptive Blue Ticks, US Responds

The European Commission has fined X £105m over its paid blue verification ticks, saying the scheme misleads users and does not adequately verify account owners. The ruling shows the EU's readiness to enforce the Digital Services Act against a major US platform.

Why the EU acted

Regulators argued that allowing payment for a blue tick creates a false sense of trust because identity checks were not meaningful. It also criticized a lack of transparency around ads and limited access to public data for researchers.

Henna Virkkunen, the executive vice-president for tech sovereignty, described the move as taking away user rights and holding the platform to account. The commission said the penalty reflects the seriousness and scope of the infringements across EU users.

What happens next

X must explain how it will bring its practices into compliance with EU law or face further penalties. This action marks the first time the Commission has targeted a platform under the Digital Services Act, which governs content, data, and advertising.

Reactions from the United States

US lawmakers and regulators criticised the decision, arguing it targets American technology firms and questions Europe’s regulatory reach. Critics say the EU is imposing its standards on US platforms and could affect online freedom of expression.

Tech analyst Matt Navarra described the move as a clear statement that the EU intends to enforce its rules on major platforms, not just issue penalties.

Background: Musk’s blue tick changes

After Elon Musk bought the platform in late 2022, verification moved from a standard identity check to a paid subscription model. To display a blue tick, accounts needed a display name, a profile photo, a verified phone number, and activity within the last 30 days, while avoiding misleading or spammy behavior.

Analysts say the system aimed to increase revenue and reduce bot accounts, but experts warned it could invite impersonation and scams if verification was weak.

Matt Navarra noted that the system shifted the trust signal from verification to payment, and he pointed out that the EU regards the lack of robust identity checks as a key problem.

Expert view

Expert comment: The EU shows it will police platform practices even when enforcement crosses the Atlantic, signaling that transparency and accountability remain central to online services. The case demonstrates how the Digital Services Act can shape platform design and monetization strategies.

Summary

Summary: The EU fines X £105m for deceptive blue ticks and limited transparency. The platform must comply with EU rules or face more penalties. The move highlights ongoing regulatory scrutiny of large tech firms and the balance between monetization and user safety.

Key insight: The EU is actively enforcing transparency and accountability on platforms under the Digital Services Act, showing that even features as well-known as blue ticks must be verifiable. BBC News