TechFlow news, according to Reuters, U.S. District Judge Alvin Hellerstein for the Southern District of New York dismissed on August 29 a lawsuit against Elon Musk and Tesla Inc., which accused them of defrauding investors by promoting the cryptocurrency Dogecoin and conducting insider trading, resulting in tens of billions of dollars in losses.
The judge ruled that Musk's tweets—such as calling Dogecoin "the future currency of Earth," suggesting it could be used to buy Tesla vehicles or be sent to the moon by SpaceX—are "aspirational hyperbole, not verifiable facts." Therefore, rational investors should not rely on these statements when bringing securities fraud claims.
The lawsuit initially sought $258 billion in damages and had been amended four times over two years. The judge dismissed the case with prejudice. Musk’s attorney, Alex Spiro, said in an emailed statement: "This is a very good day for Dogecoin."
