Ethereum gaming network Xai sues Elon Musk’s xAI over trademark infringement

Ethereum gaming network Xai sues Elon Musk’s xAI over trademark infringement
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Ex Populus, the Delaware company behind the Ethereum-based gaming network Xai, has filed a lawsuit in the U.S. District Court for the Northern District of California accusing Elon Musk’s artificial intelligence firm xAI of trademark infringement and unfair competition. The complaint says xAI’s use of the same name has caused marketplace confusion and damaged Xai’s brand and reputation.

According to the filing, Ex Populus has used the XAI trademark in U.S. commerce since June 2023 across its blockchain gaming ecosystem and its $XAI token. The company describes its platform as an infrastructure for video games and digital transactions that supports game logic, AI-driven decisions, reward systems and data management across applications.

The suit alleges confusion began when Musk announced his xAI company in July 2023 and intensified after he announced plans in November 2024 to launch a gaming studio under the xAI name. Ex Populus says consumers, media outlets and even Musk’s AI assistant Grok have at times conflated the two ventures, creating uncertainty about whether the projects were affiliated.

Ex Populus also argues the association with Musk has caused reputational harm beyond lost goodwill. The complaint claims the company has suffered “significant negative consumer sentiment” because of Musk’s polarizing public profile and controversies tied to xAI products.

The filing further accuses Musk’s legal team of pressuring Xai to give up its trademark rights, including threats to cancel Xai’s registration. It notes that the U.S. Patent and Trademark Office has already suspended several of Musk’s xAI trademark applications due to a likelihood of confusion with Xai’s existing mark.

Ex Populus is asking the court to cancel xAI’s pending trademark applications, award damages for infringement and unfair competition, and issue an injunction preventing Musk’s company from using the xAI name in gaming and blockchain contexts. The complaint argues that monetary relief alone cannot fully remedy the harm caused by the confusing association with Musk’s business and public image.

Original reporting by Cointelegraph.

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