The legendary billionaire and entrepreneur Elon Musk is facing a class-action lawsuit from plaintiff Keith Johnson who believes he is “engaged in a crypto pyramid scheme”, featuring Dogecoin (DOGE).
According to Johnson, Musk and his corporations, SpaceX and Tesla Inc got “unjustly enriched” by $86 billion that he and other plaintiffs lost between May 2021 and June 2022.
Per Johnson, this money has ostensibly come from fraud, gambling enterprise, false advertising, deceptive practices, and other unlawful conduct. As a result, Johnson wants a total of $258 billion in damages from Musk – 34 times Dogecoin’s current market cap of $7.5 billion.
Defendant Musk is the self-appointed ‘Dogefather,’ ‘former CEO of Dogecoin,’ partner, developer, spokesperson, publicist, salesman, marketer, and promoter of Dogecoin, who assembled the ‘Doge Army’ including his corporations and various billionaires, influencers, and celebrities to increase the price, market cap and trading volume of Dogecoin.the lawsuit reads.
The lawsuit adds that Dogecoin must also be declared as gambling within New York and federal law, also noting that Musk and his corporations have already violated the rule.
Since Plaintiff and the class were not advised that the trading of Dogecoin was nothing more than a gambling enterprise, Plaintiff and the class demand the return of all wagers lost trading Dogecoin.the lawsuit states.
Johnson also wants to preclude Musk, his corporations, and all other unlicensed professionals from advertising, marketing, or promoting DOGE.
Several figures have already reacted to the lawsuit, including pseudonymous Dogecoin creator Shibetoshi Nakamoto who described it as “stupid as f#ck”. CEO and co-founder of Irreverent Labs Rahul Sood, CEO likewise used heavy language to describe the lawsuit, calling it a “stupid class-action lawsuit.”
“Amazing that in the US someone could launch such a stupid class-action lawsuit. These guys all knew what they were getting into. Ridiculous," he wrote.
Musk has been an avid supporter of Dogecoin for years. Recently, he boosted Dogecoin’s price by tweeting that “Tesla merch can be bought with Doge, soon SpaceX merch too” and yesterday he boosted it once again by saying, “I will keep supporting Dogecoin.”
Source: Twitter
