Musk in fresh allegations of DOGE insider trading

Dogecoin investors have accused Elon Musk of insider trading and manipulating the price of $DOGE, saying that he has cost them billions of dollars.

Altcoins
Last updated June 2, 2023
Altcoins
Dogecoin. Pic: Unsplash

Dogecoin investors have once again accused Elon Musk of insider trading and manipulating the price of DOGE, alleging that he has cost them billions of dollars.

Investors accuse the Tesla CEO of intentionally driving up DOGE’s price by more than 36,000% over two years and then letting it fall, to short the crypto.

It is the third amendment to the lawsuit, first filed in June 2022, and is seeking class-action status.

In the suit filed in a Manhattan federal court on Wednesday 31 May, investors say Musk has used his Twitter platform, his infamous Saturday Night Live stint and other ‘publicity stunts’ to trade at their folly through multiple DOGE wallets that he or his company Tesla possess.

A particular ‘Dogecoin rulz’ tweet from 2019 has also been singled out in the suit.

The filing adds that a “deliberate course of carnival barking, market manipulation and insider trading” enabled Musk to defraud people, while promoting himself and his objectives.

Investors have also accused Musk of selling more than $124m worth of DOGE when he replaced the Twitter logo in April – which saw the DOGE price spike in value following the move.

In an earlier response to the initial lawsuit, Musk’s lawyers have previously called the lawsuit a “fantasy”.

However, Musk lawyer Alex Spiro declined to comment yesterday.

So far, Musk has also not responded to the suit on Twitter.

Elon Musk and Dogecoin

The ‘Dogefather’ Musk calls DOGE his ‘favourite’ coin and has incorporated it at SpaceX and Tesla.

However, following his 2021 Saturday Night Live hosting slot, the DOGE price fell by more than 30%.

Whenever Elon Musk decides to discuss a coin, the market reacts accordingly. Miladys Meme Coin recently got the similar treatment when it jumped by more than 12,000% following a tweet from the Tesla boss.

At the time of writing, the price of DOGE is trading at $0.07224, up 0.90% in the past 24 hours. It’s currently the world’s eighth-largest crypto, according to CoinMarketCap, with a live market cap of $10,067,914,842. It has a circulating supply of 139,596,356,384 DOGE coins.

About Author

Scarlett D

About Author

Scarlett D

Scarlett D

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Scarlett is a passionate NFT and Web3 reporter for CoinNews, where she covers the latest trends and news in the ever-evolving world of non-fungible tokens. With a knack for uncovering hidden gems and an infectious enthusiasm for all things NFT, Scarlett has quickly become a go-to source for crypto collectors and Web3 aficionados alike. Before joining the CoinNews team, Scarlett earned her stripes as a freelance writer, covering topics ranging from blockchain technology to digital art and virtual reality. Her diverse background and keen eye for detail have equipped her with a unique perspective, allowing her to deliver fresh and engaging content that resonates with the rapidly growing NFT community.
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