A lawsuit accusing Tesla CEO and SpaceX owner Elon Musk of manipulating Dogecoin has been resolved. Cryptocurrency investors, who had filed claims of fraud and insider trading against Musk and Tesla, withdrew their appeal on August 29 following the dismissal of the case, according to Reuters.
The investors also dropped accusations against Musk’s legal team, which they had alleged interfered with the appeal and charged excessive legal fees. Additionally, a motion seeking punitive measures against the plaintiffs for pursuing “unreasonable” and “unsubstantiated” legal theories was withdrawn.
On Thursday night, both the appeal and counterclaims were officially filed for dismissal in Manhattan federal court, pending approval from U.S. District Judge Alvin Hellerstein.
The lawsuit initially accused Musk of manipulating Dogecoin’s value through his Twitter posts, appearances on NBC’s Saturday Night Live, and other actions. However, in dismissing the case in August, Judge Hellerstein stated that “reasonable investors” could not prove fraud based on Musk’s tweets.
The investors initially sought $258 billion in damages and amended their complaint four times over two years.
Musk, who rebranded Twitter as X in 2022, was recently named by President-elect Donald Trump to lead a new Department of Government Efficiency—a title coincidentally echoing the name of Dogecoin.
