Dogecoin is just like any other Cryptocurrency, Dogecoin was created in 2013, and its name and logo came as a result of a popular meme that trended with a deliberate misspelling of the word “doge” to describe the Shiba Inu breed of dog.

The crypto which started as a lighthearted joke for enthusiasts in the crypto space soon became a reckoning force in the crypto industry. How did this come about?

When Doge started out, a group of crypto enthusiasts came together to use publicity stunts to boost the status of Dogecoin in the Crypto marketplace.
The coin continued to thrive as it gained the cult status on Reddit on the WallStreetBets messaging board. Enthusiasts continued to promote the meme coin with the intention of taking it “to the moon”

This continued until May when Dogecoin shot up to $0.68 as compared to its start-up price.
This was hugely influenced by Elon Musk. The CEO of Tesla and SpaceX called the coin his favorite Cryptocurrency, and this influenced the price of Doge. Making it stand among others as tip 5 Cryptocurrencies in terms of total market cap.

Fast-forward to today; June 16, 2022, the centi millionaire Elon Musk and his firms were sued for $258bn by a Dogecoin investor who reported he was defrauded by Dogecoin via a “pyramid scheme.”

Keith Johnson, the investor who sued Elon also included Tesla and SpaceX in the lawsuit on Thursday at the Federal court in Manhattan.
He also demanded $86bn for damages, in addition to $172bn for all the losses he experienced trading Doge since 2019.

The filed lawsuit stated that Dogecoin isn’t a currency, stock, or security. Also, the crypto isn’t backed by gold. Neither can it grow, nor can you eat it or wear it.

• Doge doesn’t pay interest or dividends.
• Doge has no unique utility compared to other crypto tokens
• Doge isn’t secured by a government or private entity

The lawsuit further stated that Doge was a fraud made to deceive greater fools into buying at a high price.

The investor wishes to represent everyone who has lost through trading Doge. Mr. Johnson sought an order restricting Elon Musk, Tesla, and SpaceX from promoting Dogecoin.

It is well certain that Dogecoin has really benefited from CEO Elon Musk’s frequent Twitter promotional tweets of the canine coin. But how realistic are Mr. Johnson’s claims about Doge being a Scam? Elon Musk is yet to make any responses regarding the lawsuit filed against him.

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