Trademark Battle: Ethereum’s Xai Sues Elon Musk’s xAI

In a move to protect its brand identity, Xai, the Ethereum-based gaming network, has filed a trademark lawsuit against xAI, Elon Musk’s artificial intelligence company. In a post on X, Ex Populus, the parent company behind Xai, noted that the legal action has become necessary as xAI has infringed on its trademark.

Xai Claims Brand Confusion Between Gaming and AI Entities

Notably, Xai is claiming that there is brand confusion between the two entities in the market and this has led to losses. Although Xai is a blockchain gaming entity while xAI is focused on artificial intelligence, the similarity in names is a source of concern.

According to Ex Populus, the court needs to step in as they owe it as a responsibility to the Xai community to protect their brand. They believe that people could mistake the two and rather than connect to the gaming platform, land on Musk’s AI company.

For clarity, the Xai space is a blockchain powered network not just for video games but includes digital transactions. It also offers infrastructure to support game logic, reward systems and data management.

Given that players, partners and investors alike are familiar with Xai, Ex Populus does not want any traffic shifting from it to Musk’s AI setup, xAI.

Ex Populus Highlight Rising Confusion After xAI Gaming Plans

Although Musk launched xAI in July 2023, Ex Populus alleged that the confusion of the brand identity reached a peak in November 2024 after xAI revealed it planned to launch a gaming studio.

As per the filing, Ex Populus maintains that Xai is losing goodwill in its trademark as a result of the confusion. It also claimed that the legal team of Musk is trying to arm twist it into surrendering its rights by using threats.

The gaming entity wants the court to block any attempt by Musk’s company from using the name in gaming or blockchain related manner.

Community Reactions Split Over Xai’s Legal Action

The lawsuit has sparked mixed reactions among users in the space. Xai community members have hailed the action of protecting the brand and keeping them informed. A user noted that clarity in the Web3 realm remains vital for trust.

However, a few others consider it an attention seeking move by Xai to its platform. Regardless of their views, it is worth mentioning that trademark registration is taken seriously. JPMorgan Chase recently filed an application in this regard.

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