San Francisco– As hundreds of thousands of traders lose their hard-earned cash within the international crypto meltdown, an American Dogecoin cryptocurrency investor has sued Elon Musk, Tesla and SpaceX for $258 billion for allegedly working an unlawful racketeering enterprise to inflate the worth of Dogecoin.
Referred to as ;Dogefather’, Musk has lengthy been a vocal proponent of Dogecoin and tweeted a number of occasions prior to now to assist spike the worth of the digital token.
A category-action lawsuit has been filed in a federal court docket in Manhattan, and the Dogecoin investor known as for triple the damages of $86 billion, which is how a lot the plaintiff alleges has been misplaced by Dogecoin traders since Musk began tweeting about it, experiences TechCrunch.
Presently, Dogecoin cryptocurrency has tumbled from its excessive of practically $0.74 to simply over $0.05 in current days.
“Defendants falsely and deceptively declare that Dogecoin is a official funding when it has no worth in any respect,” the plaintiff Keith Johnson mentioned within the criticism.
“Since Defendant Musk and his companies SpaceX and Tesla, Inc started buying, growing, selling, supporting and working Dogecoin in 2019, Plaintiff and the category have misplaced roughly $86 billion on this Crypto Pyramid Scheme,” he added.
Musk was but to react to the class-action lawsuit.
Earlier this 12 months, Musk introduced that the corporate’s supercharging stations will settle for cryptocurrency Dogecoin as cost.
“After all, you’ll be able to pay in Doge (sic),” mentioned Musk in response to a tweet.
Tesla does settle for Doge in its on-line retailer and there have been rumours of Tesla ultimately accepting the crypto as a type of cost for its automobiles.
In a current interview, Musk endorsed Dogecoin over every other crypto coin.
“The transaction worth of Bitcoin is low and the fee per transaction is excessive. At the very least at an area degree, it’s appropriate as a retailer of worth. However essentially, Bitcoin shouldn’t be a great substitute for transactional forex,” he mentioned.
Musk has confirmed that he has a major private funding into Bitcoin on prime of Tesla’s funding and he has smaller Ethereum and Dogecoin holdings. (IANS)