Argentinian Lawmakers Vote to Investigate Milei's Role in LIBRA Token Collapse

Argentinian lawmakers in the lower house voted to establish a special commission to investigate President Javier Milei's involvement with the LIBRA token, which suffered a significant collapse after Milei promoted it on social media. The vote, which passed with 128 in favor and 93 opposed, marks a significant setback for Milei, who has maintained his innocence and labeled the investigation as a political witch hunt. The concept had previously failed to gain traction in the Senate.

In February, Milei shared a post on social media promoting the LIBRA token, expressing optimism that the project would stimulate the Argentinian economy. However, the token's dramatic collapse led to the deletion of the promotional post, and Milei later claimed that he only shared information about the digital asset without endorsing it. Critics, including Cristina Kirchner, have accused Milei of promoting a scam project, dubbing the incident "Cryptogate."

The lower house passed a series of votes aimed at investigating Milei’s supposed involvement with the LIBRA crypto project. One of the votes requested by opposition lawmakers was to summon key government officials, including Economic Minister Luis Caputo and head of the National Securities Commission Roberto Silva. The vote to summon the officials received 131 in favor and 96 opposed. Another vote to request information about the crypto affair from the Executive Branch received 135 in favor and 84 opposed.

The opposition won the vote to summon high-ranking officials from Milei’s government and to obtain key documents about the LIBRA affair. During the debate, Pablo Juliano, a representative, argued that it was time for Congress to take the matter up and decide whether the LIBRA affair had damaged the country. Milei, after finding out about the LIBRA scandal, quickly distanced himself from the project, claiming that he didn’t have any personal involvement in the project. However, opposition leaders were unconvinced because there were photos of Milei with the LIBRA developer.

Opposition parties in Argentina have seized upon this issue to attack Milei’s administration. Milei has stated that he believes this is a political game and nothing more. Opposition leaders, meanwhile, claim that Milei was part of a financial scam and should be investigated accordingly. In March, an Argentine lawyer asked for Hayden Davis’s arrest, who introduced the project to Milei in January. Further, a New York law firm contacted LIBRA investors to file a lawsuit related to the crash.

Hayden Davis, the owner of the company Kelsier, responsible for the launch of the token LIBRA, accused Milei of betraying him after the president distanced himself from the project after the scandal. Davis said that he was an advisor to the president. Opposition leaders in Argentina are using this information as a basis for their investigation because they believe there is more to this story that has yet to be revealed.

The investigation is expected to delve into the details of the token's launch, the role of government officials, and the impact on investors, potentially revealing more about the scandal that has plagued Milei's presidency. The commission aims to identify any potential misconduct surrounding the Libra token's launch and subsequent crash. Representative Oscar Agost Carreño emphasized the importance of seeking political explanations and adhering to democratic rules to build a network of trust. Key government officials, including Chief of Staff Guillermo Francos, Roberto Silva of the National Securities Commission, Justice Minister Mariano Cúneo Libarona, and Economy Minister Luis Caputo, are expected to be summoned to provide information as the investigation progresses.