Pyramid scheme for fun?
Investor Dogecoin is suing Musk for $ 258 billion
06/16/2022, 11:30 pm
Dogecoin is the cryptocurrency that Elon Musk appears to have an intimate relationship with. According to his statements, the market value has increased massively several times. Overall, however, it has collapsed since last year. In the United States, an investor is suing for a sum calculated using a formula.
A cryptocurrency investor is suing Elon Musk, the richest man in the world according to Forbes, for $ 258 billion, claiming he built a Ponzi scheme on Dogecoin. Musk and his companies Tesla and SpaceX raised the price of digital money and then crashed it, according to a pleading filed on behalf of Keith Johnson in federal court in Manhattan. “The accused have known since 2019 that Dogecoin has no value, but they still promoted Dogecoin to profit from its trading.” Musk used his status as the richest man in the world to “manage and manipulate the Dogecoin pyramid scheme for profit, attention and fun.”
The text references statements from investors like Warren Buffett and tech-savvy people like Bill Gates, who fundamentally question the value of cryptocurrencies. Johnson wants to sue $ 86 billion in damages, equivalent to the drop in Dogecoin’s market value since May 2021. The total amount would be roughly half of the German federal budget. Additionally, the court should ban Musk and his companies from advertising Dogecoin. Cryptocurrency trading should also be classified as a form of gambling.
The statements of the respective lawyers and representatives are not yet available. Dogecoin was originally cast as a parody. Its value increased by a quarter in January after Musk announced the possibility of Tesla “merchandising” purchases with it. On Thursday, the currency was below $ 0.06 per coin after hitting a record high of around $ 0.74 in May 2021.