dogecoin 
$0.375533The lawsuit filed against Elon Musk ended with investors withdrawing their complaints. The case, which included accusations of cryptocurrency-related fraud and insider trading, was rejected at the beginning of the year.
Dogecoin Lawsuit
Investors argued that Musk’s Twitter posts, public appearances and statements were used to artificially raise the price of Dogecoin. U.S. District Court Judge Alvin Hellerstein dismissed the case on August 29. The judge stated that Musk’s public statements did not constitute securities fraud.
“Describing Dogecoin as the ‘future currency of the world’ cannot be considered market manipulation.”
Case Dropped
This week, investors withdrew their appeal and request for sanctions against Musk’s lawyers. Musk and Tesla, on the other hand, dropped the sanction request against the investor lawyer. Both parties reached an agreement to settle the case in Manhattan federal court.
“The withdrawal of the case shows that the process was concluded fairly.” -Investor representative
With the closure of the case, this long-running legal battle in federal court has come to an end. Investors initially demanded compensation of $258 billion, but this demand was withdrawn after the court decision.
Musk’s comments about Dogecoin, especially his statements that it was “the future currency of the world”, were a major point of contention in the case. However, the judge decided to reject the case, stating that such statements were not intended to manipulate the market.
The fact that investors and Elon Musk withdrew their demands for sanctions is also considered an indicator of how similar legal battles may result in the future. Regulations and legal frameworks in cryptocurrency markets can prevent such cases from happening again. When the lawsuit was filed, we mentioned that such lawsuits were not well-intentioned and would not be successful against Musk. After the court’s rejection, this unnecessary struggle ended with the appellant withdrawing the case.
As a result, the end of the Dogecoin case against Elon Musk may contribute to reducing the uncertainties in the cryptocurrency markets. Clearer paths can be determined for investors and companies on how legal processes will proceed.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that crypto currencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
