Investors withdraw appeal in Dogecoin case against Elon Musk

As a seasoned crypto investor with a knack for navigating the volatile digital currency market, I must admit that this latest turn of events regarding Elon Musk and the Dogecoin lawsuit has left me both intrigued and somewhat amused.


The legal claim accusing Elon Musk and Tesla, his electric car company, of artificially inflating the value of the digital currency Dogecoin is approaching its final stages.

According to a report by Reuters on November 15th, investors who initially brought a class action lawsuit have decided not to pursue an appeal.

The lawsuit suggests that Elon Musk and Tesla manipulated Dogecoin’s (DOGE) value using tweets on certain dates and public comments. A key point of contention revolves around Musk’s appearance on NBC’s ‘Saturday Night Live’ in 2021, where investors believe his statements on the show affected DOGE’s price, enabling him to capitalize on its rise.

The complainants found Musk’s tweets regarding “the head of Dogecoin” and updating his profile with the DOGE symbol as manipulative. Additionally, there were remarks about the possibility of Dogecoin evolving into a worldwide benchmark for the financial system.

It has been suggested that the price of DOGE frequently surged significantly after such remarks, with one example being Tesla’s endorsement of the meme currency as a possible method of payment.

The lawsuit sought $258 billion from the billionaire.

In August, a lawsuit filed by investors was thrown out by U.S. District Judge Alvin Hellerstein, but they have chosen to appeal his decision.

With the withdrawal of the motion by Musk’s lawyers, the insider trading and fraud allegations case involving Tesla has reached its conclusion. This news follows Musk’s team withdrawing their objections to the investors’ attorneys over excessive legal costs.

What remains is for judge Hellerstein to approve the withdrawal motions.

The investors’ decision to end the case notably comes just two days after U.S. president-elect Donald Trump nominated Elon Musk and Vivek Ramaswamy to head the new Department of Government Efficiency. DOGE’s price surged significantly following the news.

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2024-11-15 19:54