Facebook’s Libra rebranding hit another snag caused by a name change
Facebook’s latest effort to rebrand its Libra project, recently renamed Diem, seems to have only gotten itself into trouble again, as it faces a British FINTECH firm of the same name preparing legal action.
Rebranding from Facebook, or what is good and how to deal with it
The Libra Association, the project’s governing body, recently said it was renaming itself Diem Association, which is Latin for “day” to start over. But according to a report from Sifted, Facebook and its friends may be forced into a nasty legal battle with London-based platform Diem, which allows small buyers and sellers to exchange their goods over the Internet.
In a tweet, one reviewer noted that naming digital currencies doesn’t seem to be Facebook’s strong suit, pointing out that when changing the Calibra wallet brand to Novi, he apparently didn’t pay attention to the fact that an Irish it services company also has the same name:
“Someone at Facebook needs to learn how to choose names better on Google.”
Meanwhile, Libra shrugged, saying they were just in shock. But the author of the post on Twitter, David Gerard, did not let up, and went even further, saying: “The last obvious oversight proved that people should be prepared for the possibility that Libra, or whatever it is called, was always a bad idea. And the project was implemented poorly, by people who are not very good at it.”
Legal action for copyright infringement
It turns out that the Diem brand has already been registered, and it belongs to a start-up FINTECH firm based in Europe. Geri Kupi, founder of FINTECH company Diem, said:
“On December 1, we were stunned to discover that the Facebook Libra Foundation decided to rebrand itself to Diem. As a small startup, we are concerned that customer confusion caused by Libra’s actions will significantly affect our growth.”
Recall that the purpose of this “know-how” from Facebook was to increase the chances of getting regulatory approval. The announcement was made on December 1, as the company previously faced many regulatory issues that prevented the successful launch of its own token.
Now it turns out that the name Diem is already in use, and Facebook may be threatened with a copyright infringement lawsuit. The decision to sue the social network is not an easy one, as a technology company can easily crush competitors with its monopoly.
Diem Fintech is a startup whose software launch only started in October. However, despite his debut in the financial technology industry, his social network @diemglobal has already gained 469,000 followers on Instagram.
In dealing with the complex task of legal matching with Facebook, Chris Adelsbach, a well-known Diem investor, said it was not an easy decision:
“We didn’t know what to do: give in because we’re a small company, or fight for what’s right.”
He hinted that the FB may have used its monopoly in the technology industry to overlook the fact that the Diem name was already taken.
“It wouldn’t take so much effort for Facebook to find out if there is another Diem in the financial services industry. Obviously, they were of the opinion that “we can just crush them. We’re Facebook. But our decision was to fight.”