Dogecoin Investors Drop Lawsuit Against Elon Musk

The long-running legal battle between Elon Musk and a group of Dogecoin investors accusing him of manipulating the price of Dogecoin in 2023 has officially ended as they withdrew their appeal.

Previously, Judge Hellerstein dismissed the case. The investors then challenged the decision, originally seeking $258 billion in damages. They accused Musk and his company Tesla of fraud and insider trading.

The investors claimed Musk used tweets, a "Saturday Night Live" appearance, and other public actions to manipulate the price of Dogecoin for his own gain.

Judge Hellerstein dismissed the case in August, stating that Musk's tweets were insufficient to establish fraud. Additionally, the judge deemed statements like Musk calling Dogecoin the "future currency of Earth" and claiming it could be sent to the moon by SpaceX as not serious enough to be considered fraudulent.

The judge also found the investors' allegations of market manipulation and insider trading lacked sufficient clarity to prove illegal activity.

Following the case's dismissal, the investors attempted to appeal the decision and requested the court sanction Musk's legal team for allegedly obstructing the appeal process and seeking excessive legal fees.

In turn, Musk and Tesla filed a motion to sanction the investors' attorneys for bringing a "frivolous" case with shifting legal arguments.

However, on November 14, the investors withdrew their appeal and request for sanctions against Musk's attorneys. Both parties filed a joint stipulation to dismiss the case, subject to Judge Alvin Hellerstein's approval in Manhattan.

Read Also: XRP Surges 15% Amid Rumors of Gary Gensler's Departure