Elon Musk, a centibillionaire, and CEO of Tesla and SpaceX had filed $258 billion for promoting Dogecoin which lead to the loss of a huge amount of money by the investors.
Keith Johnson who claims to be one of the investors says he lost money after investing in dogecoin and described himself as an “American citizen who was defrauded” by what he called a “Dogecoin Crypto Pyramid Scheme.”
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He is asking for his motion, filed in a New York court, to be classified as a class-action suit on behalf of those who have suffered losses by investing in dogecoin since 2019.
Since the inception of Dogecoin’s promotion by Musk, investors have lost almost $86 billion according to Keith Johnson’s calculation. He would like Musk to reimburse investors this sum, plus pay double that in damages — an additional $172 billion.
Dogecoin’s promotion by Musk was aided by his high number of followers
Johnson said he agrees Musk made the DOGE spiked the Price market Cap and trading volume of Dogecoin via his repeated promotion of the memcoin.
He added that Musk has over 98 million followers on Twitter, including one promising that SpaceX would “put a literal Dogecoin on the literal moon.”
Elon Musk was named electric carmaker since he allowed dogecoin as a mode of payment and he also includes the name of one of the satellites Dogecoin.
Johnson likened dogecoin to a pyramid scheme since the virtual currency has no intrinsic value nor is it a product.
In one of the threads, Tesla CEO Elon Musk has floated the idea of making it possible for a Twitter Blue subscription with the Dogecoin cryptocurrency.