Paymium’s Blockchain.io accused of trade infringement before ICO
The term blockchain having a trademark seems absurd. Blockchain, a crypto wallet provider has accused a startup, Blockchain.io of trade infringement acts. Blockchain.io is a subsidiary company of Paymium, a European Bitcoin exchange. The lawsuit filed by Blockchain claims that Blockchain.io is using its intellectual property and trying to charm investors to the startup’s upcoming ICO, which it claims is misleadingly branded as Blockchain.
“Paymium adopted the mark BLOCKCHAIN.IO in a blatant and bad faith attempt to capitalize on the valuable and trusted BLOCKCHAIN marks and to confuse consumers into believing that Paymium’s inferior services emanate from or are otherwise associated with Blockchain. In fact, significant consumer confusion has already occurred as a result of Paymium’s actions,” read the lawsuit.
Blockchain is dragging Paymium to court under the allegations of trade infringement and unfair competition among others. They are also seeking injunctive relief and compensatory damages.
Blockchain.io response to allegations
Blockchain alleged that Blockchain.io Design Mark ‘mimics’ the Blockchain Design Mark. The products being sold by the latter, under the similar logo are also ‘identical or closely related’ to the Blockchain’s products. Also, Paymium uses the same channels as Blockchain to advertise their products raising the competition. The company also claimed that Paymium copied Blockchain’s Digital Wallet Services and has a related website with identical information as Blockchain.
“Paymium has publicly claimed that its ICO had been “registered” with the U.S. Securities and Exchange Commission (“SEC”), a false and misleading claim callously intended to convince potential investors that its offering has been vetted and approved. These acts represent a serious threat to consumers and constitute trademark infringement and unfair competition,” according to the complaint filed.
“Paymium has already sold or rendered services under the Infringing Marks to consumers in the United States, including without limitation by securing U.S. investors for its BLOCKCHAIN.IO-branded cryptocurrency services,” added the report.
Blockchain is suing Paymium for trademark infringement, unfair competition, false advertising, deceptive acts and practices unlawful, injury to business reputation and misappropriation. They are demanding compensatory damages worth $10,000,000 in addition to compensation that will be determined by the court.
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