Dogecoin Investor Sues Elon Musk and Tesla for $258 Billion
A Dogecoin investor has filed a lawsuit against Elon Musk for manipulating the price of the cryptocurrency.
The investor also sued the billionaire’s companies, Tesla and SpaceX for operating an illegal racketeering enterprise.
Dogecoin has tumbled from a high of around $0.74 to just over $0.05 in the past few days.
The past several weeks have seen a cryptocurrency sell-off that has wiped hundreds of billions of dollars from the market capitalization of several tokens and investors have been left licking their wounds.
One man, however, is seeking to recover his money from Elon Musk, whom he holds responsible. A class-action lawsuit was filed on Thursday in the Manhattan federal court by an American dogecoin investor. The investor is accusing Elon Musk, Tesla, and SpaceX of operating an illegal racketeering enterprise and manipulating the price of the dog-themed cryptocurrency.
Musk has frequently referenced the meme cryptocurrency on his account, at times, causing the value of the crypto asset to spike with his tweets. The plaintiff in the lawsuit uses those tweets and Musk’s references to himself as the “Dogefather” as proof that he has been manipulating the cryptocurrency.
The investor is seeking damages for owners of the crypto asset who have lost money as the cryptocurrency tumbled from its high of around $0.74 to just over $0.05 yesterday.
The complaint is demanding triple the damages of $86 billion, which is how much the plaintiff alleges has been lost by Dogecoin investors since Elon Musk started tweeting about it.
The plaintiff noted:
“Defendants falsely and deceptively claim that Dogecoin is a legitimate investment when it has no value at all.”