Brand Clash: Why Zap Africa Is Taking Paystack to Court Over a Name
Zap Africa, a cryptocurrency exchange specializing in crypto-to-Naira conversions, has issued a legal warning to Paystack, one of Africa’s leading fintech companies, over the use of the name “Zap.”
The Trademark Dispute
The conflict emerged after Paystack recently introduced “Zap,” a mobile app designed to simplify and accelerate bank transfers. Paystack’s CEO, Shola Akinlade, clarified that the app is not a banking service but a tool to make transactions more seamless. However, Zap Africa is not pleased with the branding, arguing that "Zap" is a trademarked name associated with its platform.
Tobi Asu-Johnson, CEO of Zap Africa, confirmed that the company intends to take legal action. In a post on X (formerly Twitter), he stated:
“Our name is trademarked, and we’re on it. Zap’s legal team will be reaching out to Paystack shortly. Huge shoutout to everyone who brought this to our attention. Your support is invaluable!
Zap Africa’s official X account also reinforced its stance, declaring:
“There is only one ZAP in Nigeria and Africa.”
What is Zap Africa?
Zap Africa operates as a non-custodial wallet that enables users to seamlessly swap and send cryptocurrency for Naira at competitive rates. The platform supports global transactions, allowing users to convert their crypto holdings into fiat currency with ease.
Paystack’s Recent Moves in Fintech
So far, Paystack has not publicly addressed the allegations or the threat of a lawsuit. The company has been actively expanding its financial services portfolio. In May 2024, Paystack spearheaded an investment group to acquire Brass, a struggling Nigerian fintech startup, for an undisclosed amount. Other investors in the deal included PiggyVest, Ventures Platform, P1 Ventures, and angel investor Olumide Soyombo.
Brass, which was founded in 2020 by Sola Akindolu and Emmanuel Okeke, provided tailored banking solutions for entrepreneurs and small businesses. Despite raising $2 million over four years, the company faced economic challenges, leading to workforce layoffs before its acquisition.
Following the deal, Paystack announced that Brass would continue operating under a new leadership team while its founders transitioned to other ventures.
The Implications of the Legal Battle
This legal dispute highlights the growing importance of brand identity and intellectual property rights within Africa’s fintech and crypto industries. As both companies continue to expand, the outcome of this case could set a precedent for future branding conflicts in the region.
Industry stakeholders and legal experts will be closely monitoring developments as Zap Africa and Paystack move toward a potential legal showdown.
Sponsor
Sponsor
Categorii
Citeste mai mult
In a country known for its diverse and flavorful cuisine, some traditional dishes have slowly faded into the background. One such rare delicacy is Ekoki, a rich and savory steamed corn pudding that was once a household favorite among the Efik and Ibibio people of Southern Nigeria. Unlike its more famous cousin, moi moi (which is made from beans), Ekoki is made from fresh corn, giving it a...
After pioneering internet-based calling 23 years ago, Skype is officially shutting down. Microsoft, which acquired the platform 14 years ago, announced that Skype will be retired on May 5, 2025, as the company prioritizes Microsoft Teams. Skype users have 10 weeks to decide their next steps. While it's unclear how many people will be affected, Microsoft last reported in 2023 that Skype had over...
A passenger found with stolen items on an Air Peace flight from Lagos to Port Harcourt has been arrested and blacklisted by the airline. In a statement on Thursday, Air Peace’s Head of Corporate Communications, Ejike Ndiulo, confirmed that the missing items were discovered in the passenger’s possession after a thorough search at Port Harcourt International...
The U.S. Citizenship and Immigration Services (USCIS) is shaking things up with a new rule that requires applicants for green cards and visas to hand over their social media handles. This move is part of an effort to tighten security screenings, but it’s sparking privacy concerns and raising eyebrows about potential data misuse. The proposed rule, which would apply to a variety of...
Prayer is one of the most fundamental practices in Christianity, yet it raises an interesting question: If God is all-knowing, why do we need to pray? Doesn’t He already know what we need before we ask? Many Christians struggle with this thought, but the answer reveals something deeper about our relationship with God. Prayer Is Not Just About Asking Many people see prayer as a way...
