As an intellectual property copyright freedom litigator, I have represented and been counsel to adult publishers. In general, one has to realize that this is the United States and that any case with adult content involved has the potential to make bad law. It is almost pointless to debate the legal reasoning here. Mike Masnick is brillian, I follow him closely, quote him often, and I know he is not naive about judges working backwards from a conclusion.
Sometimes a competitor will select a trademark or symbol that resembles a competitor's brand to let the public know that its product is a parallel product. It is not meant to fool the public, but to make an association. Try Wikileaks, for example. I have not reviewed the facts of this case, so I would withhold judgment at this time.
On a quick search, I came across this opinion for someone at Davis and Gilbert: "There is no relationship between ticker symbols and the trademark law. But letters can be registered under the trademark laws. So if a company is
assigned a ticker symbol eg. DVD and it wants to register it as trade dress, they can (If not registered by anybody already) Examples are VW, ABC and NBC. This is no way a legal advise. Wilson Addo Davis & Gilbert
There is nothing worse than rules that cannot be enforced or run against logic and instinct. Very few people in the United States know the origins and history of copyright, so their moral compass is set soley in relation to the "law."