Benzinga - Elon Musk's admiration for Dogecoin (CRYPTO: DOGE) is no secret. Every time the billionaire and Dogefather tweets about the meme coin, it creates a surge in its value.
What Happened: On June 16, 2022, a class action lawsuit accused Musk of running a crypto pyramid scheme — also known as a Ponzi Scheme — using Dogecoin.
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“It’s not backed by gold, or other precious metal, or anything at all. You can’t eat it, grow it, or wear it. Dogecoin does not generate cash flow. It doesn’t pay interest or a dividend. It has no unique utility compared to other cryptocurrencies. It is not part of a new internet or metaverse. It’s not based upon or tied to anything of value,” the introduction of the case said.
Since the time of the lawsuit, DOGE has seen an 80% increase in its value — from $0.050 to $0.090. That means a $100 investment in DOGE at the time of the lawsuit would now be worth $180.
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