$258 Billion Dogecoin Lawsuit Against Elon Musk Grows in Scope

The gargantuan Dogecoin-related lawsuit against Tesla CEO Elon Musk has gotten bigger, according to a recent report by Reuters.

The massive lawsuit has added several new plaintiffs as well as Musk’s Boring Company and the Dogecoin Foundation, the non-profit organization behind the meme coin, among new defendants.      

As reported by U.Today, Dogecoin investor Keith Johnson filed a $258 billion class-action complaint against Musk, alleging that the centibillionaire run a pyramid scheme by promoting the most popular meme coin. Johnson also named Tesla and SpaceX in the initial version of his lawsuit.

Musk has been accused of advertising Dogecoin as a “legitimate investment” on his social media profile to artificially inflate its price. The lawsuit alleges that the defendants manage to earn billions by promoting Dogecoin.      

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Apart from seeking monetary damages, Johnson also wants to block Musk and his businesses from promoting the meme cryptocurrency in the future.

Dogecoin experienced a gargantuan rally in the first half of 2021. The meme coin’s spectacular success was mainly fueled by Musk’s frequent tweets that were often accompanied by memes. Dogecoin’s headline-grabbing rally came to a grinding halt following the centibillionaire’s appearance on “Saturday Night Live.”

The lawsuit alleges that the famous Bitcoin parody derives its value solely from marketing.

Musk remains an avid supporter of Dogecoin in spite of its massive price downturn. Shortly after the $258 billion lawsuit was filed in June, Musk tweeted that he was buying more DOGE.