The Securities and Trade Fee (SEC) has beforehand monitored the web exercise of the SpaceX and Tesla boss over considerations that his tweets may influence share costs and different markets.
Rumours of the newest investigation had been first reported by monetary newswire service First Squawk, who cited sources aware of the matter.
“I hope they do! It will be superior,” Mr Musk tweeted on Thursday.
When questioned by one in every of his 48 million Twitter followers why he tweeted about dogecoin a lot, Mr Musk replied: “I really like canine and memes.”
In a 2018 interview with Bloomberg, Mr Musk mentioned he “[does] not respect the SEC”, however would adjust to the legislation if ordered to.
The Impartial has contacted the SEC for remark.
The worth of dogecoin dropped almost 10 per cent after the report emerged, although this will likely have been the results of a wider market development that noticed different cryptocurrencies like bitcoin and Ethereum (ether) lose worth in comparable increments in a single day.
Mr Musk has regularly shared photographs and memes referring to dogecoin in current weeks, most not too long ago on 24 February when he shared a mocked up picture of a shiba inu canine in a spacesuit planting a dogecoin flag on the moon.
The cryptocurrency’s value usually seems to maneuver following endorsements from the expertise billionaire, who as soon as modified his Twitter profile to learn, “CEO of Dogecoin”.
In a current question-and-answer session on the Clubhouse app, Mr Musk mentioned that his posts had been “simply meant to be jokes”, however added that “destiny loves irony”.
He mentioned: “Probably the most entertaining final result is usually the most certainly. Arguably probably the most entertaining final result, and most ironic final result, could be that dogecoin turns into the forex of Earth sooner or later.”
These feedback appeared to have had a optimistic influence on dogecoin’s value, however its infamous volatility means such spikes are sometimes adopted by a crash.
An analogous however much less pronounced sample additionally seems to happen when Mr Musk tweets about bitcoin.
“Though Elon’s feedback are clearly having an impact on crypto, that is solely short-term,” Philippe Bekhazi, chief govt of cryptocurrency platform Stablehouse, instructed The Impartial.
“We don’t imagine one individual can have a long-term impact on bitcoin. It has been confirmed many instances up to now that that’s certainly the case.”