Elon Musk and his companies were accused of running Dogecoin crypto pyramid scheme
A US citizen has sued the entrepreneur, Tesla, and SpaceX for $258 billion
17.06.2022 - 07:20
495
2 min
0
What’s new? US citizen Keith Johnson has sued Elon Musk, as well as the companies he leads, Tesla and SpaceX, claiming that they implemented illegal financial schemes to manipulate the rate of the meme cryptocurrency Dogecoin (DOGE). Johnson is seeking $86 billion in damages from Musk and $172 billion in moral damages, Bloomberg reports. He has also asked the court for a complete ban on the promotion of DOGE for the billionaire and his companies.
What else is known about the charges? The plaintiff is also seeking recognition of Dogecoin trading as gambling under New York State and US law.
“Defendants falsely and deceptively claim that Dogecoin is a legitimate investment when it has no value at all,” the lawsuit says.
Musk and the lawyers of his companies have not yet commented on the incident in any way.
The entrepreneur has repeatedly advocated for Dogecoin, causing sharp fluctuations in the coin’s rate. In December 2021, he stated that DOGE is better for everyday payments than BTC. In May, Musk reported that SpaceX would begin accepting Dogecoin as payment for merch. In this, Tesla had already started accepting the meme cryptocurrency.
As of June 17, 07:15 UCT, Dogecoin is trading at $0,058, down in price by 3% in 24 hours, according to Binance.
Earlier, CryptoLaw chief and lawyer John Deaton warned Elon Musk about the possible consequences of the Dogecoin promotion. He suggested that the US Securities and Exchange Commission (SEC) may recognize the asset as security and link it to Tesla and SpaceX.
Economist and author Nassim Taleb said that the lack of clear rules regulating the digital assets market provides opportunities for civil lawsuits, which is a “gold mine for lawyers.”
Useful material?
Telegram 
Twitter Market
According to the founder of TRON, the leading US crypto exchange asked for several hundred million dollars for the listing of TRX
Nov 4, 2024
Incidents
The company conducted fictitious trading for six years to inflate the trading volume of tokens of several companies, receiving payment for these services
Nov 1, 2024
Market
1,5 million addresses have already left applications
Oct 31, 2024
Business
The company began investing in bitcoin in 2020, and since then, the value of its securities has risen by 1700%
Oct 30, 2024
Mining
The Deputy Energy Minister explained that in deficit regions, it is impossible to allocate large capacities for industry enterprises until 2030
Oct 30, 2024
Market
Customers will also be able to withdraw funds to bank accounts using cards
Oct 30, 2024
Cryptocurrency rates
-
Bitcoin
$68 751
BTC
-0.26%
-
Ethereum
$2 441.53
ETH
-1.15%
-
BNB Smart Chain
$570.25
BSC
-0.32%
-
Ripple
$0.507017
XRP
-0.79%
-
Dogecoin
$0.169683
DOGE
+7.48%
-
Cardano
$0.331741
ADA
-0.12%
-
Bitcoin Cash
$338.72
BCH
-0.14%
-
Polkadot
$3.84
DOT
+0.94%
-
Litecoin
$65.5
LTC
-1.96%
-
Stellar XLM
$0.092378
XLM
+0.51%