Elon Musk Hit With $258 Billion USD Lawsuit for Allegedly Defrauding Investors With Dogecoin Pyramid Scheme
The plaintiff is also asking for a court order banning him and his companies from publicly promoting Dogecoin.
Elon Musk, SpaceX and Tesla Inc. are facing a $258 billion USD lawsuit for allegedly defrauding investors in a Dogecoin “pyramid scheme.”
According to Fortune, a man named Keith Johnson filed the suit in Manhattan, New York on behalf of several others who lost money investing in Dogecoin since April 2019. He claims that he was “defrauded out of money by defendants’ Dogecoin Crypto Pyramid Scheme” and that Musk “falsely and deceptively claim that Dogecoin is a legitimate investment when it has no value at all.”
Johnson is now seeking $86 billion USD in damages plus triple damages worth $172 billion USD, along with a court order barring Musk, SpaceX and Tesla Inc. from promoting Dogecoin and stating that trading Dogecoin is considered gambling under New York and United States law.
Neither Musk, SpaceX nor Tesla have responded as of writing.
In related news, Musk is attempting to get out of the SEC deal that requires his lawyers to approve his tweets.
