Actor Jamie Foxx this week tweeted his support support of an initial coin offering for Cobinhood, which says it is launching a zero-fee trading exchange and cryptocurrency service platform. But the startup — which declined to say if Foxx was compensated, when asked by Axios — could be facing a big problem.
Robinhood, a zero-fee stock trading exchange recently valued at $1.3 billion by venture capitalists like Google Ventures, is upset about what it feels is misappropriation by the upstart (including a very similar color scheme).
Per a company statement:
"Robinhood has no affiliation with Cobinhood, which is confusingly similar in name and branding. In order to protect our brand, Robinhood sent a cease and desist letter requesting that Cobinhood cease its use of the Cobinhood name and branding."
Cobinhood's reply so far: "Cobinhood is not associated with Robinhood in any way, but are as legitimate as them."