Tesla CEO Elon Musk is likely to be underneath SEC investigation by the U.S. Securities and Change Fee over his flurry of Dogecoin tweets to cryptocurrency buyers, in response to an initial tweet from First Squawk — an audio-based monetary newswire.
— First Squawk (@FirstSquawk) February 25, 2021
Elon Musk doubtless underneath investigation for Dogecoin tweets
Whereas the rumor has but to accumulate a affirmation, there may be greater than sufficient context in Musk’s current Twitter exercise to justify the suspicion.
We have identified Musk’s tweets have been underneath SEC monitoring efforts for some time. In 2018, Musk misrepresented the chance of a non-public Tesla providing, and ultimately reached a settlement with the SEC. In consequence, the SEC has restricted and pre-approved Musk’s tweets relating to enterprise exercise, since 2019.
Taken collectively, these information increase the chance that the SEC — which has proven elevated curiosity in regulating cryptocurrency, is watching Musk’s tweets, combing them for relevance or potential results on Dogecoin or different cryptocurrencies.
Seemingly despite rumored investigations, Musk has continued to tweet — the latest of which associated to Dogecoin was despatched on Feb. 4, at 8:00 AM EST.
Dogecoin drops 5.7 p.c amid SEC investigation rumors
At first look, it appears inconceivable that Tesla CEO would tweet about Dogecoin whereas underneath present investigation by the SEC, however judging from his earlier feedback, he is simply as more likely to ignore the knowledge.
Elon Musk mentioned he “[does] not respect the SEC” in 2018 during a Bloomberg interview. The tech billionaire additionally mentioned his tweets had been by no means censored by the SEC — as a result of the regulator had reached a settlement with Tesla.
From the context of his expressed opinions, historical past, and up to date tweets, it appears doubtless Elon Musk is underneath investigation by the SEC for his Dogecoin tweets. However because the rumors started circulating, Doge dropped 5.7% in 24 hours — rather more drastic than Bitcoin’s 0.1% dip in the identical day.