FTC targets Sendit app for alleged child data collection and deceptive practices

The Federal Trade Commission has filed a complaint against Sendit, an anonymous question app widely used by teenagers, alleging unlawful data collection from children, misleading in-app practices, and deceptive subscription tactics.

According to the complaint, filed by the Department of Justice on behalf of the FTC, Sendit’s operator, Iconic Hearts Holdings, Inc., and its CEO Hunter Rice, violated the Children’s Online Privacy Protection Act (COPPA). The rule requires online services that collect data from children under 13 to notify parents and obtain verifiable consent.

The FTC claims that in 2022 alone, more than 116,000 Sendit users self-reported being under 13, yet the company continued to collect personal details — including phone numbers, birthdates, photos, and linked social media usernames — without parental notification or approval. Parents also reportedly alerted the company about underage users, but the app allegedly failed to take corrective action.

The agency further alleges that Sendit misled its largely teen audience by sending fabricated messages, often with provocative or suggestive content such as “would you ever get with me?” and “have you done drugs?” Users were then prompted to pay for a premium “Diamond Membership” to uncover who had sent the messages.

In reality, the FTC says, the paid feature either revealed false information if the message originated from the app itself, or vague details such as a sender’s device type or general location. Additionally, consumers were not clearly informed that the $9.99 charge for the membership was a recurring weekly subscription, rather than a one-time fee.

Anonymous Q&A apps have long faced scrutiny due to risks tied to harassment, privacy violations, and their appeal among younger users. In 2021, Snapchat suspended YOLO and LMK after legal action linked to a child’s suicide. Following their removal, Sendit gained rapid traction, reportedly reaching more than 3.5 million downloads.

Sendit also drew criticism in 2022 after promoting itself under the name “Sendit Reveal,” suggesting it could identify message senders — a claim now central to the FTC’s complaint. The same year, the company sued rival app NGL, accusing it of copying features including fake messages.

The complaint, filed in the U.S. District Court for the Central District of California, alleges violations not only of COPPA but also of the FTC Act and the Restore Online Shoppers’ Confidence Act (ROSCA), which prohibits certain unfair or deceptive sales practices involving recurring charges.

The case will now proceed before the court. If the allegations are upheld, Iconic Hearts and Rice could face penalties and restrictions on future business practices.