Elon Musk is being sued for a “Ponzi” scheme using Dogecoin
Johnson is claiming Musk for $258 million for allegedly supporting a pyramid scheme using the meme cryptocurrency Dogecoin, alleging DOGE is a “scam that dupes the greatest idiots.”
The following is stated in the Manhattan federal court complaint: “Since 2019, the defendants were aware that Dogecoin had no value, nevertheless they continued to promote the cryptocurrency for financial gain. Musk utilised his status as the world’s wealthiest man to control and influence the Dogecoin pyramid scam for profit, notoriety, and entertainment.
The investor supports his argument with statements from billionaires Warren Buffett, Bill Gates, and others, who have publicly questioned the value of Bitcoin and other cryptocurrencies (BTC). However, there is no conclusive proof that DOGE is “worthless” or that Elon Musk developed and implemented a “pyramid scheme.”
After agreeing to invest in Dogecoin, Keith Johnson claims to have been “cheated” by Tesla’s CEO. He accused Musk of “inflating” DOGE’s value with his tweets and pushing the cryptocurrency for his “personal gain, publicity, and pleasure.” Additionally, Johnson seeks court orders prohibiting the billionaire from promoting the meme cryptocurrency.
The investor’s demand is supported by the premise that “Dogecoin’s market value has decreased since May 2021.” In addition, Johnson desires that DOGE designate itself as a “bet” under New York’s federal regulations.
Elon Musk’s monologue on “Saturday Night Live,” in which he portrayed a financial expert and dubbed Dogecoin “a scam,” is also included in the case.
In addition, Keith Johnson asserts that Dogecoin is an “illegal phishing corporation” that is funded, marketed, and managed using Twitter.
Previously, DOGE had a market valuation of around $11.39 billion at the end of the fifth month of the year. This is a decrease of 35% from the opening day market value. The remarkable trading volume of $991.71 million on May 1 corresponds to a market value of around $17.62 billion for DOGE.
Timothy Ursich, a candidate for the California Senate, introduced a measure to make Dogecoin (DOGE) legal cash in the state a few days ago. In the upcoming November elections for the United States Senate, Ursich will run for the Democratic Party for one of the seats corresponding to the well-known West Coast state.