Investors said this included when Musk sold around $124 million worth of dogecoin in April after he replaced Twitter’s blue bird logo with dogecoin’s Shiba Inu dog logo, leading to a 30% jump in the price of cryptocurrency. Musk bought the social network in October.
Musk defrauded investors and promoted himself and his companies through “market manipulation and insider trading,” according to the complaint.
Alex Spiro, Musk’s attorney, declined to comment Thursday. An attorney for Tesla did not immediately respond to a request for comment, while an attorney for the investors did not immediately respond to a separate request.
Investors have accused Musk, the world’s second-richest person according to Forbes magazine, of deliberately driving the price of dogecoin up more than 36,000% in two years and then letting it crash.