Milk

Dogecoin

Elon Musk

<p class="is-style-lead">A collective of dogecoin investors has moved to modify their ongoing class-action lawsuit against Twitter&#8217;s outgoing CEO, Elon Musk. The amendment accuses Musk of manipulating the meme cryptocurrency&#8217;s market price for his gain.</p>



<p>On May 31, a group of dogecoin investors <a href="https://www.reuters.com/legal/elon-musk-is-accused-insider-trading-by-investors-dogecoin-lawsuit-2023-06-01/" data-type="URL" data-id="https://www.reuters.com/legal/elon-musk-is-accused-insider-trading-by-investors-dogecoin-lawsuit-2023-06-01/" target="_blank" rel="noopener">applied</a> for an adjustment to their class-action lawsuit against Elon Musk, the soon-to-depart CEO of Twitter. The litigants assert that Musk exploited his extensive Twitter following and media visibility to artificially drive up dogecoin&#8217;s price. They allege he then capitalized on this increase by engaging in strategic DOGE trades, profiting at other investors&#8217; expense.</p>



<p>The original lawsuit, filed in June 2022, came before Musk&#8217;s controversial acquisition of Twitter but postdated his initial efforts to promote dogecoin on the platform.</p>



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<p>The plaintiffs have twice revised their lawsuit based on Musk&#8217;s subsequent activities. They now seek court permission to augment their complaint to include allegations of insider trading and to argue that Dogecoin meets the US Securities and Exchange Commission&#8217;s criteria for being classified as a security.</p>



<p>The freshly amended lawsuit states: “This is a securities fraud class action arising from a deliberate course of carnival barking market manipulation and insider trading by the world’s richest man Elon Musk, who hijacked an emergent pop-culture phenomenon to cross-promote himself and his companies, and to pad his obscene fortune, preying on the earnest hopes of vulnerable Americans, including war veterans, blue-collar workers, and the elderly.”</p>



<p>While Musk has yet to respond to the most recent lawsuit amendment, his actions on Twitter, such as changing the platform&#8217;s logo to the Dogecoin emblem, have previously caused a surge in the cryptocurrency&#8217;s price. Crypto newsletter Milk Road suggests that Musk sold $124 million worth of DOGE following the move.</p>



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="550" data-dnt="true"><p lang="en" dir="ltr">Elon Musk allegedly sold $124 million of Dogecoin after he replaced Twitter&#39;s logo with the Doge symbol. <a href="https://t.co/terH8pWzem" target="_blank">pic.twitter.com/terH8pWzem</a></p>&mdash; Milk Road (@MilkRoadDaily) <a href="https://twitter.com/MilkRoadDaily/status/1664375639300866048?ref_src=twsrc%5Etfw" target="_blank" rel="noopener">June 1, 2023</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
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<p>Despite Twitter&#8217;s value reportedly plummeting by 33% since Musk&#8217;s takeover in October 2022, his influence on cryptocurrency markets remains a topic of controversy and legal scrutiny.</p>



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Dogecoin investors strike Elon Musk with market manipulation lawsuit

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