In a statement quoted by the publication, Tradestar, a California-based developer which allegedly planned to partner with Axiom on Curry’s CryptoKitties, said it and Axiom had signed a non-disclosure agreement in February.
When Axiom announced its own product, dubbed ‘CurryKitties,’ earlier this month, it constituted a violation of the agreement.
Tradestar is now suing for trade secret misappropriation, CEO Jevon Feinblatt confirmed in an email.
The episode spells trouble for CryptoKitties, which launched in December 2017 and racked up sales worth $12 mln the same month.
In March, Axiom gained another $12 mln in funding from prominent venture partners including Andreessen Horowitz and Union Square Ventures.
“We have been falsely accused of breaching an NDA and believe the lawsuit has no merit,” an Axiom spokesperson said about the proceedings.
“Axiom Zen is a company that is committed to ethical and responsible work, including ownership and protection of data.”
At the same time, doubts over Curry’s actual participation in the CurryKitties has now led to their withdrawal.
A message on the project’s website reads:
“The CurryKitties are taking a cat nap. We have reason to believe Steph wasn’t as involved in the CurryKitties as we thought. Until we’re sure he’s an active participant, we’re suspending the campaign.”