In the latest development, the ongoing legal battle over Musk’s connection with Dogecoin has come to an end as investors have withdrawn their appeal. The lawsuit had accused Musk of manipulating DOGE price, accusing of fraud and insider trading.
Investors Withdraw Their Appeal
“They are also withdrawing a bid to sanction Musk’s lawyers for allegedly interfering with the appeal, including by demanding payment of their hefty legal fees,” as per Economic Times.
However, with investors withdrawing their appeal, this has officially come to an end. Additionally, Musk and Tesla have withdrawn their motion to sanction the opposition legal team over the lawsuit. The case was previously dismissed on August 29th, when investors had sought to continue taking legal action against Musk.
Musk- The DOGE Father
Previously, Musk had declared himself to be the Doge father, frequently citing the memecoin in various instances. His connection would trigger price increases for the token. This led to a legal battle, as investors alleged Musk of manipulating the price of the token for his gains. The investors accused Musk of using Twitter posts, an appearance on NBC’s “Saturday Night Live” and other stunts to trade dogecoin at their expense, including by timing trades to Musk’s public statements and activities.
Investors originally sought $258 billion and amended their complaint four times in two years. However, on August 29, the case was dismissed stating that reasonable investors could not establish securities fraud based on Musk’s public statements. The judge stated that Musk’s comments, such as describing Dogecoin as the “future currency of Earth,” could not be reasonably interpreted as market manipulation or insider trading.
A stipulation dismissing the appeal and both sides’ motions was filed on Thursday night in federal court in Manhattan. It now requires approval by U.S. District Judge Alvin Hellerstein.
Dogecoin Soars On Trump’s Announcement
Just recently, Dogecoin soared in value after Trump greenlit Musk’s ideas for a new executive department by a similar name. Trump announced that Musk will lead the new Department of Government Efficiency or DOGE, alongside Vivek Ramaswamy, a billionaire who ran against Trump in the Republican primary but then dropped out to support him.
Amidst the remarkable events of the last week, Dogecoin’s price has soared. On election day, DOGE hovered around $0.15. Since then the token has nearly tripled in value, nearly touching $0.43 on Wednesday and hitting a three-year peak this week. Experts believe that Dogecoin has emerged as a changed token from this week’s events and looks all set to still have its best days ahead. It is currently trading around $0.3623.
