Crypto scandal with fallout: Investigation launched into the Milei government
In February, Argentine President Javier Milei sparked worldwide headlines when he used an X post (formerly Twitter) to back a new crypto project: the memecoin LIBRA, built on the.
In February, Argentine President Javier Milei caused a global stir when he used an X post (formerly Twitter) to back a new crypto project: the memecoin LIBRA, built on the Solana blockchain. The coin briefly reached a market cap of $4.5 billion before doubts about the project's integrity and Milei's involvement led to a spectacular crash of more than 90 percent. The president later quietly removed his promotional post.
The affair now has legal ramifications. Interpol has launched an investigation into Hayden Davis, founder of Kelsier Ventures, the company involved in LIBRA's launch. Davis is also linked to the controversial Melania meme coin.
Meanwhile, pressure on the Argentine government is mounting. The Argentine Parliament voted on Tuesday to establish a special committee to investigate the LIBRA token scandal. "It is time for Congress to determine whether Argentina has suffered any damage. We owe the truth," said parliamentarian Pablo Juliano during the debate.
The motion passed with 128 votes for, 93 against, and 7 abstentions. The investigative committee will question several prominent government officials, including Economy Minister Luis Caputo and Justice Minister Mariano Cúneo Libarona. President Milei himself said after the crash that he "did not know the details of the project."
At the same time, a judicial investigation is underway into possible ties between Milei and the LIBRA developers. Opponents go so far as to call for the president's removal over involvement in the alleged crypto scam.
According to predictions on the betting platform Polymarket, Milei seems to stay off the hook for now: despite corruption suspicions, the chance of his government falling in 2025 is estimated at only 8 percent.
