Binance accused of IP theft over PNUT token by Peanut the Squirrel owner
Binance accused of intellectual property (IP) theft.
Mark Longo, the creator and owner of the "Peanut the Squirrel" brand, has accused global cryptocurrency exchange Binance of intellectual property (IP) theft.
Longo claims Binance used his trademarked mascot's likeness and brand name to promote the PNUT-themed memecoin without authorization, according to Cointelegraph.
In a cease-and-desist letter issued to Binance, Longo’s legal team asserts that the crypto exchange violated the United States Copyright Act.
The letter claims that Binance unlawfully reproduced and displayed copyrighted images and used the terms “PEANUT THE SQUIRREL” and “PNUT” in its branding, causing consumer confusion and falsely implying an endorsement from Longo’s educational and animal welfare initiatives.
Legal Action and Potential Penalties
Longo’s cease-and-desist demands that Binance cease all use of the PNUT marks and mascot likeness by December 31. Failure to comply could result in legal action seeking injunctive relief, statutory damages of up to $150,000 per infringement, and coverage of attorney fees.
The controversy comes as the PNUT memecoin experiences a meteoric rise. The token’s market capitalization reached $2.25 billion on November 14, driven by a viral online event.
Other Peanut-themed tokens have also surged in popularity, with two of them breaking into Dexscreener’s top 10 tokens in 24-hour trading volume.Legal experts suggest that the case could set a significant precedent for IP rights in the fast-evolving world of memecoins. Binance has yet to issue a public response.
Meanwhile, other exchanges, including Coinbase and Kraken, are reportedly considering listing the PNUT token, potentially heightening the stakes for all parties involved.
According to DefiLlama, Binance saw record success in 2024, with over $24 billion in user deposits. This surge was driven by a growing user base of 250 million and boosted by global crypto adoption and the launch of U.S. Bitcoin and Ethereum ETFs.
