Milei's Tweet Storm: Argentina's Crypto Collapse

Argentina's crypto landscape has been rocked by a sudden collapse of the LIBRA token, with President Javier Milei finding himself at the center of a legal storm. The controversy began when Milei posted about LIBRA on X, sending the token's price soaring from $0.006 to nearly $5 in just a few hours. Investors, assuming the project had government backing, rushed to buy in. However, the excitement was short-lived, as LIBRA's price crashed to $0.84 six hours later, wiping out billions and causing widespread panic.

In the aftermath of the crash, Argentine lawyers Jonatan Baldiviezo and Marcos Zelaya filed fraud charges against Milei, alleging that his promotion of LIBRA misled investors. They compared the situation to a "rug pull," a common crypto scam where developers promote a token before abandoning it, leaving investors with significant losses. Burwick Law also encouraged investors to reach out if they wanted assistance with crypto losses.

Milei quickly deleted his post and denied any knowledge of LIBRA's creation. His team released a statement claiming they removed the post to stop speculation. However, legal experts argue that the damage had already been done, and Argentina's judiciary will now decide if Milei and his team misled investors.

The situation became even more suspicious when Jupiter Exchange admitted that some of its team members had known about LIBRA's launch weeks before Milei's post. While Jupiter denied any insider trading, the revelation raised concerns that certain individuals may have made secret profits before the crash. Meanwhile, Kelsier Ventures CEO Hayden Davis, one of LIBRA's biggest supporters, blamed Milei for the token's collapse, claiming that the president's team had promised to support the project but later backed out, shaking investor confidence.

Argentina's Anti-Corruption Office is now investigating whether any crimes were committed. While Milei's team denies the fraud charges, claiming it was a routine social media post to support entrepreneurs, the Anti-Corruption Office remains unconvinced. They have assembled a special task force of crypto, finance, and anti-money laundering experts to investigate potential fraud or misconduct. With lawsuits piling up and investors outraged, Milei's presidency hangs in the balance as the investigation unfolds.