Elon Musk’s Transforms X Into A Trading And Investing Platform, With DOGE Serving As The Platform's Currency
Elon Musk is continuing his transformation of X into a multifunctional super app, modeled on Chinese like WeChat.
XingChiLog in/ Sign up
Elon Musk’s $258 Billion Dogecoin Lawsuit Dismissed: Judge Calls Tweets 'Aspirational Puffery'
Follow
The Dismissal of a $258 Billion Lawsuit: Musk's Tweets as "Aspirational Puffery”
In a significant legal victory, Elon Musk and Tesla Incorporated emerged triumphant after a federal lawsuit accusing them of inflating the price of Dogecoin was dismissed.
The lawsuit, filed by a group of disgruntled investors who claimed to have lost tens of thousands of dollars, alleged that Musk manipulated the value of the cryptocurrency through a series of tweets and public statements.
According to the plaintiffs, these actions led to a staggering $258 billion in damages, framing the events as part of a "pyramid scheme."
The investors' allegations centred around Musk's social media influence, particularly on Twitter, where he commands a massive following.
A notable instance cited in the lawsuit was Musk's tweet: "One word: Doge," which the investors claimed caused a significant spike in Dogecoin's price.
Furthermore, Musk's announcement that Tesla would accept Dogecoin as payment for its merchandise was highlighted as another factor contributing to the cryptocurrency's inflated value.
However, on August 29, 2024, U.S. District Judge Alvin Hellerstein in Manhattan ruled against the plaintiffs, finding their claims unconvincing.
Aspirational Puffery or Manipulation? Judge Hellerstein's Verdict
Judge Hellerstein's decision rested on the argument that Musk's statements were "aspirational" rather than concrete, factual declarations.
He emphasised that these tweets could not be reasonably interpreted as reliable financial advice.
According to the judge, "no reasonable investor could rely upon them," a statement that highlights the inherent risk and speculative nature of investing based on social media posts.
The judge further elaborated that Musk's tweets, such as his lighthearted claim of becoming the "official CEO of Dogecoin" or his suggestion that a "literal" Dogecoin might be sent to the moon aboard a SpaceX vehicle, were "aspirational puffery" — statements made in jest and not intended to be taken seriously by the market.
The plaintiffs also accused Musk and Tesla of orchestrating a "pump and dump" scheme, manipulating Dogecoin's price through well-timed trades that aligned with Musk's public statements.
They alleged that Musk deliberately drove Dogecoin's price up by more than 36,000% over two years, only to let it crash, causing substantial financial harm to investors.
However, Judge Hellerstein found these claims to be too vague and unsubstantiated, stating that it was "not possible to understand" the basis of the insider trading accusations.
Musk's Publicity Stunts: Real Impact or Just an Illusion?
The lawsuit highlighted several high-profile events, including Musk's appearance on NBC's "Saturday Night Live" in 2021, where he made references to Dogecoin, and a memorable incident in April 2023 when he temporarily replaced Twitter's blue bird logo with Dogecoin's Shiba Inu dog logo.
The latter action caused Dogecoin's price to spike by 30%, after which Musk allegedly sold a portion of his holdings, leading to a sharp decline in the cryptocurrency's value.
But he wasn’t the only one selling, which significantly impacted the value:
Despite these allegations, Musk's legal team argued that the plaintiffs' claims lacked merit, describing the lawsuit as a "fanciful work of fiction" and asserting that Musk's tweets were "absolutely harmless."
The legal team's arguments ultimately prevailed, as Judge Hellerstein dismissed the case with prejudice, meaning that the plaintiffs cannot refile the lawsuit.
This outcome represents a resounding victory for Musk and Tesla, with Musk's lawyer, Alex Spiro, celebrating the decision as "a very good day for Dogecoin."
The Wild Ride of Crypto Investment
Investing in cryptocurrency is like riding a rollercoaster; the highs can be exhilarating, but the lows can be stomach-churning.
Prices can fluctuate rapidly, often without warning.
A tweet, a news article, or even a random rumour can send prices soaring or plummeting in a matter of seconds. It's essential to understand this inherent volatility before diving into the crypto market.
In this case, Musk’s tweets.
Investing in cryptocurrencies should be considered a calculated risk, and expecting stability is akin to trying to control the weather.
This is the nature of crypto investment, so there is no one to blame.
The Aftermath of Musk's Influence on the Future of Dogecoin
This ruling not only clears Elon Musk and Tesla of any wrongdoing in relation to Dogecoin but also sets a precedent for how social media statements by influential figures are interpreted in legal contexts.
Musk's history of making comic and often cryptic tweets about various cryptocurrencies has repeatedly demonstrated the power of his influence over the market.
However, as Judge Hellerstein's ruling makes clear, such tweets should not be construed as financial advice or as a basis for sound investment decisions.
While the dismissal of the lawsuit may bring some relief to Musk and his supporters, it also raises questions about the future of Dogecoin and other cryptocurrencies subject to market manipulation claims.
As of the time of the ruling, Dogecoin's price remained relatively stable, with a slight gain of 0.2% over the last 24 hours, according to CoinGecko data.
Dogecoin is currently trading at $0.1004.
However, the cryptocurrency has seen a 20.2% decline in the past month, reflecting the volatility that has become synonymous with digital assets.
Gain a broader understanding of the crypto industry through informative reports, and engage in in-depth discussions with other like-minded authors and readers. You are welcome to join us in our growing Coinlive community:https://t.me/CoinliveSG
Add Comment
LoginLeave your comments
0 Comments
Earliest
Load more comments
Related News
- XingChi
Crypto Donors Can Now Contribute Bitcoin, Ethereum, and Dogecoin to World Food Program USA’s Emergency Fund
WFP USA is now accepting over 80 cryptocurrencies for donations to support its Emergency Hunger Relief Fund, targeting $25 million to aid 58 million people facing starvation. This move aims to modernise fundraising, reduce transaction fees, and speed up donations to tackle the global hunger crisis.
WeatherlyGlobal Retaliation Looms as Trump’s Tariffs Slaughters Global Stock and Crypto Markets: Could His Presidency Be the Death of Crypto?
Trump’s latest tariffs have rattled global markets, with critics calling them more misguided than his Strategic Bitcoin Reserve plan. In 44 trading days, the tariffs have wiped out over $11 trillion from the US stock market, and the global crypto market has fallen over 11%. Can crypto survive under this administration?
KikyoDogecoin Devotee Elon Musk Denies Shiba Inu’s Token Role in US Government as the Meme Coin Price Sinks Almost 10%—Is Dogecoin Losing His Favour?
Elon Musk denied US government plans to adopt Dogecoin, stating D.O.G.E. was named through online consultations to improve efficiency. Following his remarks, Dogecoin's price fell nearly 10% in a week. Is Musk’s support for the meme coin fading?
KikyoDogecoin Climbs as House of Doge Establishes Official Dogecoin Reserve with Purchase of 10 Million DOGE
House of Doge’s 10M DOGE purchase boosts mainstream adoption, making Dogecoin a faster payment option. The Official Dogecoin Reserve will serve as a liquidity pool for global merchants. Bullish indicators suggest a potential 16% price surge.
KikyoUS SEC Confirms Bitcoin and Dogecoin Mining Under Proof-of-Work Do Not Violate Securities Laws
The SEC confirmed that Bitcoin mining does not involve securities and does not require registration. This decision removes uncertainty for miners and reflects a policy shift under new leadership.
WeatherlyDogecoin’s Decade of Giving: The Meme Coin That Redefined Philanthropy and Its Charity Evolution
Dogecoin, born as a playful crypto parody, has grown into a global force with a generous community. Beyond its meme origins, it has spent more than a decade supporting charities and grassroots causes. How far has its philanthropy reached?
CatherineDogecoin Takes the Track: Shiba Inu Logo to Adorn Devlin DeFrancesco’s IndyCar in Indianapolis 500
An IndyCar team co-owned by David Letterman will showcase a Dogecoin-themed car at this year's Indianapolis 500, with fans choosing the wrap design.
CatherineRobinhood Trivia Game Offers $2 Million in Bitcoin and Dogecoin: Do You Have the Brains for It or Will You Just Be a Bystander?
Robinhood Trivia Live is offering over $2 million in Bitcoin and Dogecoin prizes this Wednesday and Thursday. Will this become a weekly competition or a just one-time game?
CatherineWhile Doge Is Preparing To Put All Government Spendings On Blockchain To Force Greater Accountability, Warren Claims DOGE Is A Corrupted Organisation Driven By Rich Businessmans
Elon Musk, who is currently spearheading the newly established Department of Government efficiency (DOGE), is hoping to use blockchain to enhance transparency in government spending, secure data, and streamline payments.
XingChi
More news about max keiser twitter
- ‘Everything to Zero Against Bitcoin’: Max KeiserBullishBearish
- Who Is Bitcoin Influencer Max Keiser?BullishBearish
- Bitcoin Could Reach $220,000, Predicts Max KeiserBullishBearish
- Bitcoin to Win As Stocks Eye Major Crash: Max KeiserBullishBearish
More news about max keiser twitter
Beyond VC and Meme Coins: Why You Should Pay Attention to $MAX
Meme, VC coin, VC and Meme coin: Why you should pay attention to $MAX Golden Finance, tokens have a future only when there are people using them and they are developed.
JinseFinanceMax Keiser Comments on "Satoshi Nakamoto Plan" for Crashing Banks
Keiser warns of US banking crisis akin to Nakamoto's vision. Sternlicht predicts failures due to Fed policies. Keiser supports Kiyosaki's crash predictions, advocates Bitcoin, gold, and silver investments.
Xu LinBitcoin Maximalist Max Keiser Dismisses Impact of Bitcoin ETFs
Debate ensues over Spot Bitcoin ETFs' impact. Bianco criticizes, citing loss of decentralization. Keiser counters, emphasizing Bitcoin's transformative power. Bitcoin price fluctuates, reaching $52,000 amid discussions.
Xu LinMax Keiser Takes Swipe at Dogecoin Following Elon Musk's Tweet
Max Keiser criticizes Dogecoin (DOGE) as an "s-coin" in response to Elon Musk's tweet. Keiser, a Bitcoin supporter, links fiat currencies to high crime rates. His recent critiques of altcoins contribute to the ongoing cryptocurrency discourse.
Xu LinBoeing's Stock Takes a Nosedive: 737 MAX Woes Trigger 20% Plunge in 2024
Boeing grapples with a 20% stock decline in 2024 due to 737 MAX troubles. The FAA investigation raises concerns, leading to a stock downgrade by analysts. Boeing's history of quality issues extends to various aircraft models, making its future prospects uncertain.
BerniceBitcoin ETF Debate Escalates: Max Keiser Warns of Seizure as Analysts Challenge
The ongoing debate within the Bitcoin community over the legitimacy and implications of exchange-traded funds (ETFs) has intensified, triggering contrasting viewpoints and concerns.
Xu LinHow Kim Kardashian Tried To Escape Lawsuit Over Alleged Ethereum Max Promotion
Last year, an obscured crypto project called Ethereum Max (EMAX) gained a lot of attention. The project was promoted by ...
BitcoinistRicardo Salinas’ Bitcoin Masterclass, Pt 3: Understand Both – w/ Keiser & Herbert
Welcome to the last installment of Ricardo Salinas’ Bitcoin Masterclass. The billionaire and his two hosts already discussed the fiat ...
BitcoinistRicardo Salinas’ Bitcoin Masterclass, Part 1: Fiat Fraud – w/ Keiser & Herbert
BitcoinistRicardo Salinas’ BTC Masterclass, Part 2: Sound Money System + Keiser & Herbert
Bitcoinist