Coinbase hit with proposed trademark lawsuit over Nano derivative products

Mar 16, 2023 | wjb news

In a lawsuit mentioned by NanoLabs, the company behind the digital currency Nano (Nano), the login password trading center Coinbase was listed as a defendant and sued for trademark infringement.

In a filing filed with a court in Northern California on Feb. 24, NanoLabs sued Coinbase's Nano bitcoin futures contract and Nano Ether stock index futures contract for infringing on their trademark rights.

The company also claimed that tort liability caused property losses to NanoLabs, reduced its brand identity and led to "specific harm and irreplaceable adverse effects".

Evans Le Mathew founded Nano digital currency in 2014. It was originally named RaiBlock and changed its name to Nano on January 31, 2018.

Coinbase launched Nano-branded products years later, the Nano bitcoin futures contract in June last year, and the Nano Ether stock index futures contract in August last year.

NanoLabs mentioned in the complaint that Coinbase's products are based on "derivatives" from BTC (BTC) and ETH, rather than the digital currency Nano, which is "the same or relatively highly similar".

It also fabricates lies that the target consumer group of Coinbase is the same as that of NanoLabs, that is, "those who seek to invest in projects and use digital currency", and the trademark of Coinbase products is "the same, and …" It is confusingly similar to NanoLabs.

It also claimed that Coinbase had a thorough grasp of Nano's digital currency before launching its products, and that Coinbase later reportedly rejected NanoLab's application to sell Nano on Coinbase because the two companies started communicating in 2018.

As a result, at least from October 17, 2018, the heads of departments and heads of each department of Coinbase and their colleagues knew about Nano Digital currency.

Nanolabs further made up lies, and Coinbase should "understand that the NanoBTC offered in Coinbase derivatives trading can only add to the confusion of customers."

"especially since the Nano Digital Currency was not sold on the Coinbase exchange, the defendant did not provide exemption agreements, differences or multiple ways to educate consumers," the court document wrote.

Nanolabs stipulates that the court strictly forbids Coinbase from using the word "Nano" and all related trademarks and website domain names with similar attributes.

Nanolabs also ordered Coinbase to pay at least $5 million, ordered Coinbase to correct advertising, destroyed all raw materials that infringed Nano's trademark, and took away all profits from Coinbase's application of the Nano trademark. It has conducted a standard jury trial.

Cointelegraph contacted Coinbase and NanoLabs for comment, but did not receive a text message at the time of the release.