Elon Musk was sued for $258 billion on Thursday by a Dogecoin investor who accused him of running a pyramid scheme to support the cryptocurrency.
Elon Musk is accused of racketeering for touting Dogecoin and driving up its price, only to then let the price tumble.
The lawsuit filed in federal court in Manhattan seeks $86 billion in damages, representing the decline in market value since May 2021.
Tesla, SpaceX, and a lawyer for Musk did not immediately respond to requests for comment.
Tesla in February 2021 said it had bought $1.5 billion of bitcoin and for a short time accepted it as payment for vehicles.
Dogecoin traded at about 5.8 cents on Thursday, down from its May 2021 peak of about 74 cents.
The case is Johnson v. Musk et al, U.S. District Court, Southern District of New York, No. 22-05037.
This report’s information was first seen on Reuters; to read more, click this link.
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