Dogecoin Drama Ends: Investors Drop Elon Musk Lawsuit Appeal

Christian Encila

7 months ago

2 mins read

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Created by industry experts and meticulously reviewed

The highest standards in reporting and publishing

How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

A lawsuit claiming that Tesla’s Elon Musk rigged Dogecoin to benefit his company has ended.

According to reports, investors who initially claimed that Musk manipulated Dogecoin’s price have withdrawn their complaint. Also, the group is withdrawing its bid to sanction Musk’s lawyers for supposedly interfering with the appeal, including canceling a request to cover their legal fees.

The lawsuit alleged that Tesla and Musk influenced Dogecoin’s price through social media posts and public statements. They highlighted Musk’s appearance on Saturday Night Live in 2021, arguing that the Tesla owner made remarks influencing the token’s price, allowing him to profit from these price swings.

Elon Musk Public Statements And Stunts ‘Influenced Dogecoin Price’

Investors filed a case against Musk in response to his statements and posts that supposedly influenced the Dogecoin price. The lawsuit highlighted Musk’s presence in NBC’s Saturday Night Live in 2021, where he shared his views on Dogecoin, pushing the token’s price to increase.

According to the complainants, Musk manipulated the market to his benefit. They claimed that Musk manipulated the market through postings on Twitter/X, adding the tag “Dogecoin CEO” and using the DOGE symbol as part of his bio.

The group alleged that the token’s price surged after Musk commented, including a statement that Tesla will accept Dogecoin as a payment method. The complainants were seeking damages of $258 billion from Elon Musk.

DOGE is currently trading at $0.37. Chart: TradingView

Court Dismisses Case Against Tesla CEO

The court has already dismissed the case against Tesla and Musk last August. In dismissing the case, US District Judge Alvin Hellerstein argued that the complainants cannot prove securities solely based on Musk’s post on social media.

The judge added that Musk’s statement, saying that Dogecoin is the world’s future currency, can be used to buy Tesla, and can “fly to the moon, are considered “aspirational and puffery” and not necessarily factual.

In short, Judge Hellerstein explained that no reasonable person should rely on posts to complain about securities fraud. The judge further noted that it would be challenging to show and prove insider trading and market manipulation claims based on posts alone.

Musk And Tesla Officially Withdraw Their Motion

Immediately after receiving the fraud and market manipulation complaint, Musk’s team motioned to sanction the group’s lawyers for filing a “frivolous case.” Musk called out the legal team for their ever-changing arguments to extort money.

Last Thursday, both sides filed stipulations to dismiss the appeal in a Manhattan court. These requests require Judge Hellerstein’s approval, and upon signature, the cases are officially dismissed.

Featured image from DALL-E, chart from TradingView

Christian Encila

They say journalists never truly clock out. But for Christian, that's not just a metaphor, it's a lifestyle. By day, he navigates the ever-shifting tides of the cryptocurrency market, wielding words like a seasoned editor and crafting articles that decipher the jargon for the masses. When the PC goes on hibernate mode, however, his pursuits take a more mechanical (and sometimes philosophical) turn.

Christian's journey with the written word began long before the age of Bitcoin. In the hallowed halls of academia, he honed his craft as a feature writer for his college paper. This early love for storytelling paved the way for a successful stint as an editor at a data engineering firm, where his first-month essay win funded a months-long supply of doggie and kitty treats – a testament to his dedication to his furry companions (more on that later).

Christian then roamed the world of journalism, working at newspapers in Canada and even South Korea. He finally settled down at a local news giant in his hometown in the Philippines for a decade, becoming a total news junkie. But then, something new caught his eye: cryptocurrency. It was like a treasure hunt mixed with storytelling - right up his alley!

So, he landed a killer gig at NewsBTC, where he's one of the go-to guys for all things crypto. He breaks down this confusing stuff into bite-sized pieces, making it easy for anyone to understand (he salutes his management team for teaching him this skill).

Think Christian's all work and no play? Not a chance! When he's not at his computer, you'll find him indulging his passion for motorbikes. A true gearhead, Christian loves tinkering with his bike and savoring the joy of the open road on his 320-cc Yamaha R3. Once a speed demon who hit 120mph (a feat he vowed never to repeat), he now prefers leisurely rides along the coast, enjoying the wind in his thinning hair.

Speaking of chill, Christian's got a crew of furry friends waiting for him at home. Two cats and a dog. He swears cats are way smarter than dogs (sorry, Grizzly), but he adores them all anyway. Apparently, watching his pets just chillin’ helps him analyze and write meticulously formatted articles even better.

Here's the thing about this guy: He works a lot, but he keeps himself fueled by enough coffee to make it through the day - and some seriously delicious (Filipino) food. He says a delectable meal is the secret ingredient to a killer article. And after a long day of crypto crusading, he unwinds with some rum (mixed with milk) while watching slapstick movies.

Looking ahead, Christian sees a bright future with NewsBTC. He says he sees himself privileged to be part of an awesome organization, sharing his expertise and passion with a community he values, and fellow editors - and bosses - he deeply respects.

So, the next time you tread into the world of cryptocurrency, remember the man behind the words – the crypto crusader, the grease monkey, and the feline philosopher, all rolled into one.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.