American sues Elon Musk for ‘influencing’ Dogecoin price (DOGE)

A billionaire influence on the price of cryptocurrencies?

Decidedly, the billionaire Elon Musk is still talking about him: the latter is currently sued by Dogecoin investor (DOGE) which claims nearly 258 billion dollars in damages. In addition, the action would extend to his two companies, Tesla and SpaceX.

Indeed, a plaintiff named Keith Johnson, filed an appeal with the Manhattan federal court. The latter accuses Elon Musk of having put in places a pyramid scheme to support the price of this cryptocurrency.

In other words, he criticizes the billionaire for having praised the merits of the Dogecoin and to have led to ” pump and dump on his course. In his appeal, the plaintiff argues:

“Defenders knew since 2019 that Dogecoin had no value and yet they promoted it to profit from its trade. Elon Musk used his influence as the richest man in the world to operate and manipulate the Dogecoin pyramid scheme for profit, exposure and amusement. »

Johnson’s attorney has yet to respond on the subject of the complaint and its content. What is certain is that the plaintiff is claiming close to $86 billion in damages.

This sum would represent what investors have lost, having invested in Dogecoin, since Elon Musk started tweeting about it. In this sense, the complaint states:

“Dogecoin’s downfall began around the time Elon Musk appeared on NBC’s Saturday Night Live and, playing a fictional financial pundit on the spoof show Weekend Update, called Dogecoin a scam. »

In his approach, Keith Johnson would ask for the tripling of this compensationor $258 billion.

Finally, in addition to compensation, the plaintiff also seeks an order banning Elon Musk, and his companies, from promoting Dogecoin.

👉 Read – What is Dogecoin (DOGE) and how to buy it?

An active cryptocurrency billionaire

Elon Musk remains active on social networks on the subject of cryptocurrenciesespecially on Bitcoin (BTC) and Dogecoin.

Some of his tweets have also caused significant increases in their prices, but also falls, when he made sensational statements about Bitcoin.

Of course, it had also impact on Dogecoin.

It is true that some skeptics had become tired of the influence of the billionaire on the price of cryptocurrencies. This also worried the crypto community.

Also, in July 2021, Elon Musk responded to his accusations of ” pump and dump “. It stated:

Alright, sometimes I do the pump, but not dump. I really don’t believe in the idea of ​​pushing the price up and then selling. »

These arguments appear fragile and do not really convince the community.

Whatever, the case is to be watchedand there is no doubt that she will react on social networks in the hours and days to come.

👉 To discover – Elon Musk: he responds to pump & dump accusations and talks about the future of Bitcoin at Tesla

Sources: Bloomberg media and Reuters media
Case: Johnson v. Musk et al, US District Court, Southern District of New York, No. 22-05037

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About the Author : Anthony Bassetto

It was in 2017 that I discovered cryptocurrencies and blockchain technology. Also, I would like to share with you the news of this sector, which is in full swing, so that you can be up to date with the latest news.
All articles by Anthony Bassetto.

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