On July 23, 2025, the Ninth Circuit Court of Appeals overturned a $9M judgment awarded to Yuga Labs, creators of Bored Ape Yacht Club (BAYC), against artist Ryder Ripps and collaborator Jeremy Cahen in a trademark dispute over their RR/BAYC NFT collection, per Reuters. The court found that Yuga failed to prove RR/BAYC caused consumer confusion, vacating the $1.6M damages (later $9M with fees) and sending the case back to California federal court for trial on trademark infringement and cybersquatting claims. However, the panel upheld that BAYC NFTs are “goods” under the Lanham Act, granting trademark protection—a major precedent for NFT holders, per The Block. X posts from @yugalabs and Greg Solano (@CryptoGarga) emphasize this as a win for NFT trademark rights.
Yuga sued Ripps and Cahen in June 2022, alleging their RR/BAYC collection, launched in May 2022, copied BAYC’s images and trademarks, causing market confusion. According to cryptonews.com, Ripps presented RR/BAYC as “appropriation art” in protest of purportedly racist and neo-Nazi imagery in BAYC. In April 2023, Judge John Walter ruled for Yuga, finding RR/BAYC likely confused consumers and wasn’t First Amendment-protected expression, awarding $1.375M in profits and $200,000 in statutory damages, per loeb.com. The $9M total included legal fees, per Cryptoflies News. Ripps and Cahen appealed, arguing their work was protected speech under California’s anti-SLAPP statute, but the Ninth Circuit rejected this, per Reuters.
The Ninth Circuit’s ruling that NFTs are “goods” under the Lanham Act strengthens Yuga’s trademark priority, as BAYC was first to use its marks in commerce, per law.justia.com. However, the court found insufficient evidence of consumer confusion, noting RR/BAYC’s distinct “RR” branding and mixed evidence (e.g., consumer surveys vs. market clarity), per courthousenews.com. The case now heads to trial to assess confusion, with Ripps calling it a “huge victory” for artists, per his email statement. X posts from @Pauly0x indicate ongoing appeals, while @NeerMcD notes the precedent’s impact on NFT IP protection. The trial could clarify boundaries for NFT satire vs. infringement, though Yuga’s unregistered securities argument was dismissed, per law.justia.com.
BAYC’s floor price is 12.65 ETH ($48,200), with $2.7B in trading volume, per OpenSea, but RR/BAYC’s impact is minimal, with $1.6M in sales, per cryptonews.com. The ruling bolsters NFT trademark enforcement, potentially affecting DeFi and altcoin markets like ONDO ($1.08) and SHIB ($0.000022), per CoinMarketCap, as IP clarity drives adoption. Investors should monitor the trial’s outcome via PACER and BAYC sentiment on X (@yugalabs). A dip in ETH to $3,600 could align with volatility, per TradingView, so diversify into SOL ($197.50) to hedge. Regulatory risks, like SEC scrutiny, persist, per crypto.news, but the precedent favors NFT creators protecting their brands.
