Core Secures Court Injunction Against Maple Finance in Dispute Over BTC Yield Products

Core Foundation has obtained a sweeping court order blocking Maple Finance from advancing a competing Bitcoin yield product, escalating a dispute that has been brewing since early 2025.

The decision, issued by the Grand Court of the Cayman Islands, restricts Maple from launching its new offering, $syrupBTC, and bars transactions involving $CORE tokens for the duration of an ongoing arbitration process.

The injunction marks a major win for @Coredao_Org, which says Maple breached a 24-month exclusivity agreement tied to their earlier collaboration on $lstBTC, a joint Bitcoin yield pilot launched at the start of the year. Core argues Maple used confidential information from that partnership to build a rival product behind the scenes. The court agreed that there is a “serious issue to be tried” and that monetary damages alone would not provide adequate relief.

The Dispute: From Joint Pilot to Legal Standoff

The tension between both teams traces back to the development of $lstBTC, a yield-bearing Bitcoin product meant to blend Core’s ecosystem and Maple’s institutional lending infrastructure. The pilot gained traction quickly, positioning itself as one of the more ambitious BTC yield experiments heading into 2025.

According to Core, the partnership included a 24-month exclusivity clause designed to prevent Maple from launching any competing product during the period. Core says Maple violated that agreement by developing $syrupBTC, a fresh BTC yield offering that allegedly uses strategic, technical, and market insights derived from their collaboration.

Core claims the move wasn’t just premature, it was deliberate, unauthorized, and harmful. The Foundation argues that Maple’s attempt to push forward with syrupBTC constituted an internal replication of the product they built together, using information that should have remained confidential.

The Grand Court agreed that the claims warranted immediate intervention. The injunction not only halts the launch of syrupBTC but also limits activities involving $CORE tokens to prevent further damage while arbitration proceeds.

Core Raises Questions About Maple’s BTC Impairments

Beyond the exclusivity dispute, Core says Maple’s handling of lender assets raised additional red flags. Earlier, Maple disclosed impairments tied to its Bitcoin Yield program, acknowledging that it could not return certain amounts of BTC to lenders due to undisclosed issues.

Core states the explanations remain unclear and that the situation created unnecessary risk for lenders participating in the joint product. The Foundation argues that Maple’s disclosure revealed deeper concerns about its internal risk management and its ability to safeguard deposited assets.

Core emphasized that these issues are separate from the contractual dispute yet provide important context for understanding Maple’s conduct since the beginning of 2025. The Foundation believes these financial uncertainties strengthen its position and underscore the need for judicial oversight.

Maple Finance Denies Wrongdoing, Claims Core Misrepresented the Situation

Maple Finance responded swiftly through an official statement on X, distancing itself from Core’s claims. The firm says the dispute is tied solely to the BTC Yield pilot conducted with Core Foundation and does not impact Maple’s broader operations or lending marketplace.

Maple denies misusing confidential information, denies breaching exclusivity, and denies any wrongdoing tied to product development. The company argues that Core’s accusations are exaggerated and that it will fight the injunction aggressively.

In its posted response, Maple says it plans to pursue “all available legal remedies” to hold Core Foundation accountable for what it describes as reputational and operational damage caused by the allegations.

Court Concludes Damages Alone Wouldn’t Be Enough

The Cayman Islands Grand Court took a firm position. After reviewing the evidence, the judge decided that monetary damages, even if awarded later, would not adequately address the potential harm to Core if Maple launched syrupBTC.

The court emphasized three factors:

1. A Valid Issue Exists: There is enough evidence to support Core’s claim that Maple may have violated the exclusivity agreement.

2. Irreparable Harm: Launching a competing product could permanently damage Core’s market position.

3. Balance of Convenience: Blocking the product now prevents larger disputes and market confusion later.

Based on these points, the injunction will stand until arbitration resolves the dispute. This effectively puts Maple’s product development and launch timeline on hold.

What Happens Next

The case now moves into arbitration, where both parties will present detailed arguments, contract documents, communication logs, and internal product development records. Arbitration will determine:

•  Whether Maple breached the exclusivity clause
•  Whether confidential information was misused
•  Whether Core is entitled to damages or further protections
•  Whether syrupBTC can ever launch in its current form

The injunction ensures the market remains unchanged during the review process.

For now, Core’s win secures control over the BTC yield narrative within its ecosystem. Maple, however, appears ready to counter-attack and defend its reputation.

A Crucial Moment for DeFi Partnerships

The dispute highlights an emerging challenge for DeFi collaborations: the balance between open-source innovation and proprietary competitive advantage. As protocols evolve into hybrid institutional-DeFi models, confidentiality, exclusivity, and product ownership are becoming core governance issues, not afterthoughts.

For investors, the legal clash introduces questions about trust, transparency, and the future of BTC-based yield products across chains.

For builders, it’s a reminder that partnerships carry real legal weight.

And for the broader industry, the case may become a reference point for how courts treat exclusivity agreements in decentralized ecosystems.

Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.

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