World’s richest man, Elon Musk, has thrown his weight behind cryptocurrency, Dogecoin, following a slump in the cryptoasset, which has led to a $258 billion lawsuit filed by one investor, Keith Johnson.
Musk made this known on Sunday via his Twitter account, adding to his numerous public support for Dogecoin, which he has been promoting on the social media platform since 2019.
He also hinted that he was still buying the cryptocurrency amid the dip.
Dogecoin, which is the 10th most valuable cryptocurrency, has depreciated by -66.07% year-to-date, with the value plummeting to $0.05784, as at the time of filing this report, far from the $0.1705 it sold for at the start of January.
Within the last six months, Dogecoin has lost $15.28 billion in market capitalisation, which now stands at $7.67 billion, in contrast to the $22.95 billion the crypto was reported to hold early this year.
Ripples Nigeria had reported that following the slump, Johnson, on behalf of other Dogecoin investors, sued Musk, Tesla and SpaceX on June 15, stating that the billionaire shouldn’t be allowed to continue marketing the cryptoasset, as it was a fraud.
Johnson said Musk, and his companies are backing a pyramid scheme (Dogecoin), and this has led to a loss of $86 billion since 2019 for investors who poured their money into Dogecoin. He asked the court to order the billionaire to compensate him and other investors in two tranches; $86 billion and $172 billion due to losses incurred on the investment.
Musk seems, however, unperturbed by the lawsuit, taking to Twitter on Sunday, three days after Johnson filed the legal action, to state, “I will keep supporting Dogecoin.” and when asked to keep buying by one of his followers, he responded, “I am”.
On April 2, 2019, the billionaire declared, “Dogecoin might be my fav cryptocurrency. It’s pretty cool.”
Musk has previously disclosed that Tesla and SpaceX merch can be bought with Dogecoin, and last week, he hinted that more items might be added.