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SEC vs. Musk: Here’s How Subpoena Drama May Affect DOGE’s Price

SEC vs. Musk: Here’s How Subpoena Drama May Affect DOGE’s Price

DailycoinDailycoin2023/10/30 11:48
By:Dailycoin
  • SEC issued a subpoena for Elon Musk to appear for a deposition.
  • Top lawyers share their insights on the feud between Musk SEC.
  • Dogecoin slides below $0.06 for the first time since October 2022.

The U.S. Securities and Exchange Commission’s (SEC) inquisition into Elon Musk’s Twitter purchase for $44 billion escalated last week when the Federal Court approved an official subpoena to initiate a deposition. On October 5th, the SEC sued Musk in San Francisco’s Federal Court to force him to testify in the SEC’s probe into his purchase of Twitter in October 2022.

Musk and the SEC have been battling it out for years; he called the SEC the “Shortseller Enrichment Commission” in 2018. The beef started boiling due to his famous Tesla 420 tweet, when the technology entrepreneur uttered, “I’m taking Tesla private at $420,” allegedly setting fear among shareholders.

Citing market manipulation, the SEC slapped Musk with a $20 million fine and forced him to delete the controversial tweets.

BREAKING: The SEC has sued Elon Musk in federal court in San Francisco to force try and force him to testify in the agency’s probe into his purchase of Twitter in 2022. https://t.co/YQF9vxTdIo

— Sawyer Merritt (@SawyerMerritt) October 5, 2023

Top Legal Experts Predict the Outcome

Top lawyers, including Elon Musk’s Alex Shapiro, have weighed in on the situation. Tesla’s biggest attorney reminded that the Twitter Chief had already testified twice in July 2022: “The SEC has already taken Mr. Musk’s testimony multiple times in this misguided investigation – enough is enough.”

Other lawyers don’t see a high chance of Musk winning this one. Marc Fagel, a Lecturer at Stanford Law School, advised him not to underestimate the magnitude of such moves by the SEC. “For the SEC to come out of the woodwork and make it public that they’re investigating, that’s a big step,” said Fagel.

Additionally, lawyers at Howard Fischer of Moses Singer pinpointed that the SEC’s motion is “cut and dry,” as the Wall Street regulator has institutional authority to collect needed information through subpoena enforcement.

“I have no respect for the SEC''

Elon Musk

pic.twitter.com/a46zuKXb1X

— Tesla Owners Silicon Valley (@teslaownersSV) October 5, 2023

Slowdown in Volume Sparks DOGE Price Plunge

Meanwhile, Dogecoin’s transaction volume has decreased since July 2023, while the canine token remained mostly in price consolidation. However, the piling legal pressure on Musk in the $258 billion Dogecoin pyramid case added to the fact investors are more cautious about $DOGE. 

Regardless, the original memecurrency continues the struggle in a market-wide altcoin meltdown, dramatically hitting a yearly low of $0.058319 today. This comes in a market-wide crackdown , but the underlying issue is plummeting trading activity. DOGE trading activity recovered earlier this year on the release of the DRC-20 protocol, but the Doginals NFT hype quickly dried out.

On October 10, 2023, the price of dogecoin was 0.0587, a year-on-year decrease of 3.48%, the number of non-0 address wallets was 5539043, the fear and greed index was 33.5%, the indicator showed fear, and the total trading volume of the TOP10 exchanges was 79304224 pic.twitter.com/oc8PC3SYOL

— Dogehome (@dogehomecom) October 10, 2023

On The Flipside

  • This is a different case than the $258 billion Dogecoin Pyramid class-action lawsuit, which has been challenged by Tesla’s Elon Musk’s lawyer team as ‘far-fetched.’
  • Elon Musk hasn’t yet protested the SEC’s subpoena to enforce a deposition in the Twitter acquisition case.

Why This Matters

Vaguely regulated cryptocurrency prevents a quicker blockchain mainstream adoption process.

Explore DailyCoin’s top crypto news:
Hacken and Radix Join Forces for More Secure Blockchain
Cyprus to Tighten Crypto Oversight with Stringent Penalties

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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