Elon Musk has been sued by an investor for manipulating the market

A Twitter investor has sued Elon Musk, claiming market manipulation

William Heresniak, a crypto investor, accused Elon Musk of manipulating market movements to depress stock prices. Elon added that he saw a lot of spam accounts on the site, thus the present contract has been placed on hold.

The plaintiff is seeking declaratory and injunctive relief in the action, which was filed in the United States District Court for the Northern District of California.

Tesla CEO Elon Musk has claimed that his $44 billion purchase of Twitter would be postponed until the social media behemoth can demonstrate that less than 5% of its members are spammers.

The world’s richest man asserted that his buyout bid was based on an SEC filing by Twitter, which indicated that spam accounts accounted for fewer than 5% of daily active users. Musk, on the other hand, said that around 20% of the accounts on the network were fake, and that the figure may be considerably higher.

“My offer was based on Twitter’s SEC filings being accurate. Yesterday, Twitter’s CEO publicly refused to show proof of <5%. This deal cannot move forward until he does”.

According to Parag Agrawal, Twitter suspends more than half a million fake accounts every day and locks millions of others who fail to pass human verification standards.

He went on to explain that bot accounts accounted for fewer than 5% of the platform’s total daily active users, according to internal estimates from the past four quarters. Even yet, because users’ data had to be kept private, such analysis couldn’t be replicated outside of the organization.

The current claim leveled by William Heresniak has yet to be proven, and no proof has been offered as of yet. Let’s wait and see how the accusations against Elon Musk play out as the case unfolds.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

Join CoinCu Telegram to keep track of news: https://t.me/coincunews

Follow CoinCu Youtube Channel | Follow CoinCu Facebook page

Hazel

CoinCu News