May 30, 2023

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Dogecoin: Elon Musk seeks to dismiss $258 billion lawsuit

Dogecoin: Elon Musk seeks to dismiss $258 billion lawsuit

Dogecoin: Elon Musk seeks to dismiss $258 billion lawsuit

Elon Musk, better known as the Dogefather, has asked a US judge to dismiss a $258 billion lawsuit filed against him in 2022. The lawsuit accuses Musk of manipulating the price of Dogecoin in a Ponzi-like manner causing investors to lose money. their investment.

Musk denied this and went to court to dismiss the complaint. His attorney, V filingnoted that the lawsuit is a “work of fictional fiction” due to his innocent and often ridiculous tweets about Dogecoin. They further stated that the plaintiff never explained how Musk intended to defraud anyone with his tweets and that statements like “there are no highs, no lows, just Doge” were not enough to support the fraud claims.

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Musk’s lawyers added that there was nothing illegal in tweeting funny words or pictures about a legitimate cryptocurrency with a market capitalization of nearly $50 billion. They also rejected the idea that Dogecoin is a security, as alleged in the lawsuit.

The lawsuit date is worth $258 billion

Elon Musk is known for his keen interest in cryptocurrency, with Dogecoin being one of his favorites. His tweets have historically played a major role in increasing or decreasing the price of Doge, and some cryptocurrency enthusiasts have criticized this effect in the past.

The $258 billion lawsuit was filed in June 2022 by a plaintiff named Keith Johnson on behalf of a group of Dogecoin investors in Manhattan federal court. He accused Musk of exaggerating Dogecoin’s advantages and causing a pump-and-dump effect on the token.

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The suit further alleged that Musk knew since 2019 that Dogecoin had no value, yet he promoted it to profit from his trading. He also noted that Musk has used his influence as the richest man in the world to manipulate the Dogecoin pyramid scheme for profit, show and entertainment.

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Investors also pointed to Musk’s appearance on NBC’s Saturday Night Live, where he played a fictional financier and described Dogecoin as a “hustle”. The plaintiff sought $258 billion in damages which is three times the estimated drop in Dogecoin’s market value during the period leading up to the lawsuit. They also sought an order to stop Elon Musk and his companies from promoting Dogecoin.

Elon Musk appears unfazed by the lawsuit and has regularly tweeted about memecoin. The Tesla CEO is no stranger to lawsuits related to his tweets, which have sparked past controversy.

Dogecoin price analysis

Dogecoin price has so far followed the performance of the crypto market. The leading meme coin continues to track the Bitcoin price trend and has regained some price gains in recent weeks. At the time of writing, DOGE is sitting at $0.0823, up 7.49%, and has seen a 10.4% gain in the past week. Doge is one of the best performing cryptocurrencies over the past week.

DOGE is trending at $0.0823 | source: DOGEUSD on

Featured image from Unsplash, chart from TradingView