Cryptocurrency exchange Coinbase has filed a lawsuit in a California federal court against Tobias Honscha from Germany over allegations related to the domain coinbase.de.
Allegations of Cybersquatting
Coinbase claims that Honscha is using the domain coinbase.de in bad faith to capitalize on the brand's goodwill. The lawsuit states: 'Coinbase recently became aware that Honscha is using and trafficking in the domain coinbase.de in bad faith to capitalize on the goodwill that Coinbase has developed over the past decade.'
Breach of Affiliate Agreement
The exchange also alleges that Honscha has used the domain to host his affiliate link to the exchange, violating the terms of their affiliate agreement, which prohibits the use of names and domain names associated with Coinbase. Coinbase asserts that this created an impression that Honscha is associated with Coinbase.
Potential Extortion by Honscha
According to the complaint, Honscha attempted to profit from the domain by threatening potential cybercrimes if Coinbase does not purchase the domain at an inflated price. Coinbase claims that Honscha's discussions included mentioning the 'risks of a phishing attack via the Coinbase email account,' which is an intimidation tactic.
Thus, Coinbase is suing Tobias Honscha, seeking damages and an injunction against the use of the domain coinbase.de, as well as its potential transfer to the exchange.
