The lawsuit accusing Elon Musk of rigging Dogecoin is coming to an end.
Investors in cryptocurrencies who said the world’s richest man and his electric car company Tesla committed fraud and insider trading are withdrawing their appeal against the dismissal of their case on August 29.
They are also reportedly withdrawing a bid to clear Musk’s lawyers of intervening in the appeal, including demanding payment of his hefty legal fees.
Meanwhile, Musk and Tesla withdrew their motion to sanction the investors’ lawyer for allegedly pursuing a “frivolous” case with constantly changing legal principles to “extort a quick handout.”
A stipulation dismissing the appeal and both parties’ petitions was filed Thursday night in federal court in Manhattan. It requires the approval of U.S. District Judge Alvin Hellerstein.
Lawyers for investors and Musk did not immediately respond to requests for comment Friday.
Investors accused Musk of using Twitter posts, an appearance on NBC’s “Saturday Night Live” and other stunts to trade Dogecoin at his expense, including scheduling Musk’s public statements and activities.
In a dismissal on August 29, Hellerstein said that reasonable investors could not prove securities fraud by relying on Musk’s tweets, including that Dogecoin was Earth’s future currency and could be sent to the Moon by his company SpaceX. .
The judge also said he did not understand investors’ claims of market manipulation and insider trading.
The investors originally sought $258 billion, and amended their complaint four times over two years.
Musk bought Twitter in 2022 and named it X.
On Tuesday, President-elect Donald Trump chose Musk and biotechnology company founder Vivek Ramaswaney to lead a new Department of Government Efficiency, whose acronym matches the name of Dogecoin.
The case is Gorog et al v. Musk et al, US District Court, Southern District of New York, No. 22-05037.
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