Elon Musk has been hit with an eye-watering $258 billion lawsuit over an alleged Dogecoin cryptocurrency pyramid scheme.
The 50-year-old, as well as SpaceX and Tesla, have been mentioned in a legal challenge over the alleged scheme.
US citizen Keith Johnson, who claims he was ‘defrauded out of money by defendants’ Dogecoin Crypto Pyramid Scheme’ was the one who launched the lawsuit, according to federal court papers filed in Manhattan.
According to an article written in Bloomberg, Johnson is looking for $86 billion in damages and tirpled damages of $172 billion for losses from trading Dogecoin since 2019.
In the court filing, he said:
“Dogecoin is not a currency, stock, or security. It’s not backed by gold, other precious metal, or anything at all,”
“You can’t eat it, grow it, or wear it. It doesn’t pay interest or dividend. It has no unique utility compared to other cryptocurrencies…It’s not secured by a government or private entity.”
The lawsuit also demands that the world’s richest man stop promoting the cryptocurrency via his other companies.