Elon Musk Sued for Alleged Exaggeration of Cryptocurrency Dogecoin Prices
Elon Musk, Tesla Inc., and SpaceX have been sued for $258 billion over allegations that they are involved in a racketeering scheme to support the cryptocurrency Dogecoin.
The billionaire CEO has been accused of an allegation that he participated in a cryptocurrency scheme. The plaintiff is suing for losses and damages incurred as a result of trading the meme-token Dogecoin.
According to the court documents, Musk “engaged in a crypto pyramid scheme using dogecoin cryptocurrency.”
According to the New York Post, the complaint was filed by Keith Johnson, who is demanding $86 billion in damages and $172 billion in “trebled damages.” The complaint requests that Musk, Tesla, and SpaceX cease selling Dogecoin.
According to the court brief, Dogecoin is neither a currency nor a stock, and it is not backed by gold, silver, or any other precious metal. People cannot eat it, wear it, or grow it.
Musk and his firms are extremely crypto-friendly; Tesla invested $1.5 billion in Bitcoin and takes Dogecoin as payment at their Santa Monica Supercharger station. The CEO Musk has remained steadfast in his crypto holdings, stating in March that he will not sell his digital assets despite global economic uncertainty.
Earlier this week, the world’s richest man tweeted a one-word tweet that read “Cryptonight” – the Superman reference is likely a melancholy acknowledgment of Bitcoin’s worst drop since December 2020.
In the court petition, the plaintiff stated that the defendants erroneously and deceptively claim that Dogecoin is a legal investment when it has no value at all.
Musk dubbed himself “the Dogefather” after driving the price of Dogecoin up 13% in 15 minutes in April 2021. The billionaire stated earlier this year that Tesla had begun taking dogecoin for transactions in its online store. SpaceX is anticipated to follow suit in the not-too-distant future. The announcement caused the value of dogecoin to skyrocket. Musk has a Shiba Inu dog named Floki, and the breed is the Dogecoin mascot.
Meanwhile, Musk’s bid to buy Twitter is bogged down by disagreements between the two parties over the number of bots on the service. One of Musk’s stated aims when launching his hostile takeover was to fix the site’s bot problem.