Argentine Report Alleges President Milei Enabled $LIBRA Crypto Scandal

The Argentinian Congress should investigate whether President Javier Milei engaged in “misconduct in office” for his role in the $LIBRA cryptocurrency debacle of February 2025, according to a report released by a committee within Argentina’s lower house of the National Congress.

Back in February 2025, Milei promoted $LIBRA on his personal X / Twitter account, spruiking it as an innovative new source of funding for Argentine small businesses. The Argentine President would later delete his promotional posts after eight wallets connected to the project cashed out to the tune of US$107 million (AU$166 million) shortly after the token’s launch.

According to news outlet El País, the parliamentary report found that despite the Argentine President’s characterisation, $LIBRA was never a serious project, but was from the very beginning “a memecoin previously designed for a rug pull by a group with privileged information.”

The report also concluded that the widespread losses incurred by retail investors in $LIBRA — the report estimates 114,410 wallets lost money trading the token — weren’t merely the result of a lack of oversight, but were also potentially caused by project insiders’ “deliberate will to evade institutional controls.”

The report highlighted the centrality of Milei to the project: “the president presumably provided indispensable cooperation for carrying out the scheme.”

Speaking to The Block, Juan Marino, an Argentine politician and secretary of the committee responsible for the report, summarised the report’s findings, reaffirming that Javier Milei — the current President of Argentina — was central to what essentially amounts to a scam against average crypto investors.

Javier Milei involved the presidential investiture to allow the alleged $LIBRA scam to effectively take place: without his tweet, $LIBRA would not have had the volume of purchases it did.

Juan Marino, Secretary of investigative committee

Milei continues to maintain he did nothing wrong during the $LIBRA fiasco despite the mounting claims against him. In May, the Argentine President disbanded an investigative taskforce set up to examine the role he and his sister, Karina, played in a crypto scheme just days after a judge asked Argentina’s central bank to make public Javier and Karina’s Milei’s bank accounts.

Currently, Milei and others involved in the creation of $LIBRA, including notorious American entrepreneur / scamster, Hayden Davis, face a judicial investigation in Argentina and a class action lawsuit in the US.

Related: First Lady’s $MELANIA Coin Under Fire: Lawsuit Alleges Massive Pump-and-Dump Scheme

$LIBRA Scam Wasn’t Milei’s First Scam Rodeo, Claims Report

While the $LIBRA scandal attracted all the headlines, the Chamber of Deputies report says there was an earlier, less attention-grabbing token launch — also involving Javier Milei — which seems to establish a pattern of crypto scams involving the Argentine President.

The investigators identified the launch of KIP Protocol a few months before $LIBRA, in December 2024. This token launch was similar to $LIBRA: Milei endorsed the token on X, and shortly afterward a project insider — in this case, a man named Manuel Terrones Godoy — cashed out, leaving other investors holding the bag.

The report claims similarities between these two token launches suggest that insiders on both projects, including Milei and other members of his administration, intentionally and systematically undermined the oversight of regulators like the National Securities Commission (CNV).

“In both cases, the cryptocurrencies were launched after having received some type of public validation by the President of the Nation, after which the liquidity pools were emptied, generating an abrupt drop in price,” the report claims.

“Although $KIP did not reach the repercussion of $LIBRA — given that the latter counted on sustained presidential promotion via a tweet pinned for hours—it did establish a factual and temporal precedent.”

Related: Hayden Davis Embroiled in New Memecoin Fiasco Amidst Legal Heat from Argentina

The report also found that Milei had endorsed other dubious crypto projects, including an NFT-based game called Vulcano and a crypto firm named CoinX, which had previously been the target of fraud investigations.

According to El País, members of Milei’s party, La Libertad Avanza (Freedom Advances), attended the committee where the report was made public and rejected its findings.