13.5 C
October 4, 2022
Image default

SEC is investigating Elon Musk over Dogecoin

Shortly after Klarna CEO Sebastian Siemiatkowski expressed concern about Bitcoin-promoting tweets, reports revealed that the SEC is investigating Elon Musk over his tweets about Dogecoin

Dogecoin’s price fell in reaction to news that the United States Securities and Exchange Commission (SEC) is investigating Tesla’s CEO, Elon Musk, because of his tweets about Dogecoin.

Recently Elon Musk has been defending cryptocurrencies through his Twitter posts. Last month, the CEO of the electric vehicle company revealed his interest in the main crypto asset, adding the Bitcoin hashtag to his Twitter bio. Musk’s action has sparked several comments in the crypto community, raising the price of BTC.

Musk investigated for promoting DOGE

Shortly after including the Bitcoin hashtag in his Twitter biography, Elon Musk posted several tweets, along with images, promoting Dogecoin. While the CEO’s ongoing tweets about DOGE look like jokes, the posts have influenced the price of the digital asset. Dogecoin’s price has risen steadily in response to Musk’s various posts. Last month, DOGE grew more than 500%.

The cryptocurrency, which started out as a meme, now has a market cap of more than $ 6.6 billion. At the time of this writing, DOGE fell 8.55% to $ 0.05113.

After a series of tweets that raised the price of DOGE, the SEC is now investigating Musk about possible security breaches related to cryptocurrency. On February 25, the financial news agency First Squawk announced in a tweet.


In 2018 the SEC filed a lawsuit against Musk over a comment he made on Twitter, saying he was considering a decision to make Tesla private. In the tweet, the CEO said:

“I’m thinking of making Tesla private for $ 420. Financing guaranteed.”

The SEC responded to Musk’s claim that the funding was secured. Eventually, the case was resolved, with Tesla and Musk paying fines of $ 20 million each.

Klarna CEO calls for regulations on tweets that promote Bitcoin

Recently the CEO of the European giant Klarna, Sebastian Siemiatkowski, expressed his concern with tweets promoting Bitcoin. The CEO’s comment came about 24 hours before news of Musk’s SEC investigation.

In an interview with CNBC on February 24, Siemiatkowski said he is “deeply concerned” that such tweets may mislead retail traders. Speaking further in an interview with CNBC on February 24, Klarna’s CEO asked regulators to alert these tweets to avoid potential losses to people.

As stated in a CNBC report, Siemiatkowski explained:

“It is great to be able to introduce new financial products and so on. But they need to follow the standard regulations that we have established and someone needs to police them to make sure they are being enforced, because otherwise, we will have a lot of consumers losing a lot of money. And that is what is happening, unfortunately. ”

Source: Coinspeaker

Related posts

Binance’s four crypto projects see massive price growth

Anupreet Kaur

YFI exceeds $ 20,000, beating Bitcoin’s historic high

Anupreet Kaur

Axie Infinity Reaching Major Milestones One After Another

Anupreet Kaur

Leave a Comment