Last week, we heard about Alibaba filing a lawsuit against Dubai-based developers called Alibabacoin Foundation. Alibabacoin Foundation were accused of using the e-commerce’s giant’s trademarked name to raise more than $3.5 million in an initial coin offering (ICO).
The lawsuit was filed in New York last week with the aim of forcing the company Alibabcoin Foundation to change the coin’s name in addition to pursuing damages for the initial coin offering (ICO) which they described as “prominent, repeated and intentionally misleading”.
However, the lawyers for the Alibabcoin Foundation rejected the charges claiming that the name is a popular Middle Eastern folklore character. They also mentioned that the demand for Alibabcoin Foundation to shut down and relaunch with another name was a “neither a reasonable or proportionate response to our client’s entirely legitimate use of an inherently generic word which emanates not from China, but indeed from the very region in respect of which your client would seek to prohibit its use.”
They cryptocurrency that Alibabacoin launched adds facial technology to block-chain enabled payments as an additional layer of security. They claim that they’ve already raised $3.5 million in funding, since they managed to sell 50 million coins in the first round after five days of its launch.
Alibabcoin Foundation was launched at the beginning of the year by Jason Daniel Paul Philip.