European regulators accuse Elon Musk's social media platform, X, of violating the Digital Services Act (DSA) by misleading X users and failing to comply with key transparency standards, according to CNN.

Margrethe Vestager, a senior official at the European Commission, reported initial results from an investigation under the Digital Services Act (DSA). These findings accuse Elon Musk's platform, X, of using deceptive practices such as dark patterns, having an insufficient ad repository, and blocking researchers from accessing data. 

The Digital Services Act, which went into effect in August 2023, prohibits the use of dark patterns-subtle design elements intended to nudge users into actions like sharing personal data or making specific choices favored by the company. 

These actions are considered misleading and not in line with industry standards, particularly regarding how the platform handles verified accounts.

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X's Blue Checkmark

The Commission also pointed out that X's verified account system allows anyone to subscribe for a blue checkmark, which was previously a symbol of trustworthiness. This change has reportedly led to malicious actors abusing the verified status to deceive users. 

Thierry Breton, another senior Commission official, expressed concern over this shift, stating that the current system misleads users and infringes on the DSA.

If the preliminary findings are confirmed, X could face a massive fine, potentially up to 6% of its global annual turnover. 

This investigation began in December and also examines X's content moderation practices, particularly regarding the dissemination of illegal content and misinformation. The probe intensified following concerns about Hamas-affiliated accounts on X after the group's October 7 attacks against Israel.

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