Zap Africa Threatens Legal Action Against Paystack Over “Zap” Brand Name Dispute

Zap Africa, a cryptocurrency exchange facilitating crypto-to-Naira conversions, has issued a legal threat against Paystack, the Nigerian fintech giant, over the use of the brand name “Zap.”

The dispute follows Paystack’s recent launch of “Zap,” a mobile app designed to streamline bank transfers. While Paystack CEO Shola Akinlade clarified that the app is not a banking service, Zap Africa insists that the name is trademarked under its brand.

Legal Action on the Horizon

Tobi Asu-Johnson, CEO of Zap Africa, confirmed their intent to take legal action, stating:

“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 (formerly Twitter) handle also reaffirmed its stance, declaring:

“There is only one ZAP in Nigeria and Africa.”

Despite the public statements, Paystack has yet to release an official response regarding the allegations or potential legal proceedings.

The Stakes: Branding and Intellectual Property in Fintech

Zap Africa operates as a non-custodial wallet, enabling users to swap and send cryptocurrency for Naira at competitive rates. The company has been expanding its services, including a wallet connect feature for Web3 integration.

The conflict highlights growing brand identity and intellectual property concerns in the fintech and crypto sectors, as companies increasingly compete for digital presence and recognition.

What’s Next?

While Paystack continues to expand its suite of financial products—most recently leading an investment group to acquire struggling fintech Brass—the Zap name dispute could lead to a legal battle or settlement negotiations.

Industry observers will be watching closely to see whether the case sets a precedent for brand name protection in Nigeria’s fintech space.