In a new twist to the gripping narrative of viral fame and digital finance, Mark Longo, caretaker of the famed Peanut the Squirrel, has taken legal action against Binance for alleged copyright violations. This move follows Longo’s accusations of Binance’s unauthorized use of his celebrated squirrel's image to promote the popular memecoin, PNUT, which consequently dropped by nearly 10% post-announcement.
On Sunday, Mark Longo, widely recognized as "Peanuts Dad," announced legal proceedings against Binance via a social media post, asserting the exchange’s use of his intellectual property without permission. Peanut, a rescued squirrel who amassed a considerable following of over half a million Instagram followers through Longo’s viral videos, was seized along with Fred, a raccoon.
Both animals were euthanized for rabies testing due to the lack of approved antemortem testing methods by the Centers for Disease Control and Prevention, sparking public outrage and condemnation from several lawmakers regarding the handling of Peanut’s death.
The incident led to a surge in enthusiasm for Peanut-inspired memecoins, notably the Solana-based PNUT, which rapidly achieved a $120 million market cap within a week of its debut. On November 11, Binance listed the memecoin, triggering a significant price rally, ultimately breaking into the top 10 memecoins by market capitalization and surpassing the $1 billion mark in under a month. PNUT's market cap reached $2.27 billion before declining but has since maintained a position above $1 billion, fluctuating between $1.80 to $1.00.
The cease and desist letter issued by Longo alleges that Binance infringed on his intellectual property rights, citing unauthorized use of a copyrighted image of Peanut in a cowboy hat, as well as the likeness of "PEANUT THE SQUIRREL and PNUT" in the promoted memecoin. Longo's legal team has made it clear that Binance must respond by December 31st, 2024, confirming receipt of the letter and cessation of all infringing activities.
Longo indicated this is just the initial action in a series of cease and desist notices he intends to issue. Following the legal action, PNUT experienced a sharp 10.2% decline, falling from $1.17 to $1.05, nearing its lowest point in over a month which raised investor concerns about future performance.
Longo's discontent with the PNUT memecoin has a history. He has previously expressed his dissatisfaction with the crypto community profiting from his deceased pet.
As an act of protest, he introduced his own memecoin, Justice for Pnut and Fred (JUSTICE), though it was not spared from allegations of insider trading. In his public warning, Longo also promoted another memecoin named Justice for Peanut (JFP), which briefly spiked by 159% post-publication before losing its gains. Despite the turmoil, as of this writing, PNUT remains at $1.10, reflecting a 5.1% decrease on the daily chart.