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Elon Musk Sued By An Investor For Promoting Dogecoin

  • Elon Musk is being sued by an American doge investor for running a pyramid Ponzi scheme
  • The investor Keith Johnson is seeking $258 billion in damages from Musk

Elon Musk is now being sued by a Dogecoin investor who accused the Tesla CEO of running a pyramid Ponzi scheme by promoting Dogecoin on social platforms. 

The investor “Keith Johnson” claims that Musk is a part of a racketeering faction that helps boost the prices of Dogecoin and is liable to reimburse funds to Johnson that he had earlier invested in Doge. At press time, the prices of Dogecoin have fallen 4% in the last 24 hours and are currently sitting at $0.05652. 

Elon Musk Sued By An American Doge Investor 

As per Bloomberg, an American Doge investor has filed a $258 billion worth of lawsuit against Tesla chief Elon Musk for running a pyramid Ponzi scheme. The investor “Keith Johnson,” claims that Musk is a part of an illegal racketeering enterprise that helps “inflate” the prices of Dogecoin.  

Musk has frequently played an instrumental role in swaying the prices of Doge due to which the internet addresses him as “Dogefather.” However, Johnson seems to have taken Musk’s Doge-themed tweets quite literally, and has claimed that Musk is liable to reimburse Johnson now that Doge has plummeted dramatically to an all-new low of $0.05. 

“Defendants falsely and deceptively claim that Dogecoin is a legitimate investment when it has no value at all,” the plaintiff, Keith Johnson, stated in his complaint against Musk

In addition to this, Johnson has claimed that  Musk should pay him $86 billion in damages plus triple damages of $172 billion. According to Bloomberg, Johnson is also seeking to represent a group of investors who have lost considerable sums of money in Doge trading since April 2019. 

Moreover, the complaint also includes a part where Johnson seeks an order to prevent Musk and other companies from actively promoting Dogecoin on various social media platforms. 

The Crypto Crash Mayhem Continues

The bear market sentiment seems to have majorly affected the prices of all central cryptocurrencies this week. The price of Bitcoin and Ethereum are down to new lows ,currently trading at $20,666 and $1094 respectively. In addition to this, several altcoins including Doge and Shiba Inu have also taken a hit amid recent crypto crash and are currently trading at $0.05 and $0.000008166.