The creators of "counterfeit" NFTs from the Bored Ape Yacht Club (BAYC) collection, artist Rider Ripps and Not Larva Labs NFT marketplace founder Jeremy Kane, were required to pay Yuga Labs $8.9 million for trademark infringement.

In June 2022, Yuga Labs filed a lawsuit against them for producing and selling "fake" tokens that they believed devalued the original artworks. Ripps used images from BAYC, calling them RR/BAYC, leading to a "market inundation of imitators."

In February 2023, the court ruled in favor of Yuga Labs, and in October, Ripps and Kane were required to pay approximately $1.575 million as compensation, which was later added with legal fees of $7 million and other expenses. In the same month, Yuga Labs announced a staff restructuring and employee layoffs, focusing on the Otherside metaverse.