ABBC Foundation Must Drop Its Trademark After Legal Conflict With Alibaba
According to a recent report released by Reuters, the ABBC Foundation announced that it will not be using the Alibaba trademark. The Foundation was behind the cryptocurrency exchange ABBC. This decision came after a court battle with the Chinese company Alibaba.
ABBC Foundation Announces It Will Not Use Alibaba’s Trademark
The firm has offices in both Dubai and Belarus and is known as the Alibabacoin Foundation. The company explained that it regretted public confusion related to the use of the name Alibabacoin. Now, they will be using the ABBC Coin name.
The Chinese giant had accused ABBC of using a trademarked name in order to raise millions of dollars selling Alibabacoins. According to ABBC, China’s ban on initial coin offerings eliminated sources of potential confusion.
At the time of the conflict with Alibaba, the digital currency lost 76 percent of its price, falling from $1.6 down to $0.38 in just a few days. At the time of writing, ABBC Coin is being traded around $0.49 and it has a market capitalization of $208 million. In this way, ABBC Coin became the 29th largest digital asset in the market.
In a recent email shared to FInance Magnates, ABBC Coin explained:
“Alibaba Group Holdings Ltd. (Alibaba) and ABBC Blockchain IT Solutions LLC (ABBC) today announced that they had reached a worldwide settlement of claims involving the use of the name ALIBABACOIN, with ABBC agreeing not to use trademarks that include the term ALIBABA worldwide.”
In the past, ABBC Coin rejected Alibaba’s claims that they were infringing the trademark. Moreover, due to the fact that Initial Coin Offerings (ICOs) are banned in China, that means that confusing the two brands is even less likely.
Nevertheless, users purchasing the digital currency could have in mind the name Alibaba rather than because of the ABBC Coin offering instead.