Elon Musk's Lawyer Dismisses 'Frivolous' Dogecoin Fraud Case

Elon Musk’s lawyers say it’s time to dismiss lawsuits alleging he was involved in Dogecoin insider trading.

Lawyers representing Tesla CEO Elon Musk are calling on a judge to dismiss a multibillion-dollar case accusing the celebrity entrepreneur of dogecoin (DOGE) hacking on his online followers. trade.

The lawyers said the charges should be dismissed with prejudice to prevent the plaintiffs from continuing to burden the judicial system with additional charges related to Musk’s Twitter activity.

Elon Musk’s “Stupid Tweets”

In a letter filed Monday in New York federal court, Musk’s attorney, Alex Shapiro, slammed the disgruntled investor’s repeated attempts to plead guilty as “baseless” and “frivolous.”

He explained that the lawsuit "is simply based on Mr. Musk’s

Harmless and often silly tweets about DOGE". It reads: "It is not illegal to tweet statements or funny pictures in support of a cryptocurrency with a market cap of over $11 billion. "

The plaintiffs’ initial complaint, filed in June 2022, seeks $258 billion in damages from Musk to cover investor losses caused by his promotion of DOGE in early 2021. The lawsuit has since been amended three times, with lead attorney Evan Spencer adding insider trading and market manipulation to the lawsuit by June 2023.

The latter document identified specific wallets in which Musk allegedly traded DOGE while influencing the price of the asset through his tweets. Plaintiffs lack evidence that any of the identified wallets actually belonged to the CEO, his lawyers said.

It added: “Plaintiffs have failed to allege that Mr. Musk’s cheering of Dogecoin—a classic bravado of inaction—was materially false or misleading, nor have they demonstrated that Defendants acted with the requisite intent.”

“Puffery” refers to vague and exaggerated statements to which a reasonable person cannot ascribe exact meaning or intent.

Some of Musk’s alleged “lies” included tweets such as “Dogecoin will last forever” and “Dogecoin will last forever,” which the defendant claimed were nothing more than bragging.

LITIGATION “APPLAINLY FAILED”

Plaintiffs and defendants agree that Dogecoin is a “highly speculative safe investment,” but the latter asserts that fact is “public, well known, and obvious,” noting that Dogecoin founder Billy Ma Kuss himself acknowledged as much.

Additionally, Spencer stated that the plaintiff’s insider trading charges “fail on the face of it” because Elon’s private intentions in tweeting about Dogecoin “are not material non-public information about Dogecoin.”

“Plaintiffs have had the opportunity to file four complaints in this case, but their allegations remain far from sufficient to bring any cause of action, let alone a sufficiently specific complaint,” Musk’s attorney wrote.