Investigation Launched into $LIBRA Cryptocurrency Promoted by Argentine President Milei
Argentina’s President Javier Milei admitted to a misjudgment after promoting a cryptocurrency, $LIBRA, which soared in value before crashing. This led to an urgent investigation into possible fraudulent activities associated with the project. Critics, including former President Cristina Kirchner, condemned the situation as a scam, prompting calls for accountability and regulation in the cryptocurrency sector.
Argentina’s President Javier Milei acknowledged a mistake after endorsing a cryptocurrency that initially surged in value before experiencing a significant crash. Following this incident, Milei’s office announced an urgent investigation into the cryptocurrency project, which is designed to support small businesses and entrepreneurs in Argentina.
Milei introduced the cryptocurrency, named $LIBRA, on social media, claiming it would promote economic growth. Hours later, he deleted his post, revealing that he was unaware of the project’s details and had no affiliation with the private company behind it.
Critics, including economists and politicians, suggested that $LIBRA might be a fraudulent scheme, with some labeling it a “rug pull,” a type of scam wherein developers attract investors only to quickly withdraw funds. Following its launch, large investors rapidly sold off $LIBRA, leading to its decline from a peak market capitalization of $4.6 billion.
The presidency has initiated an investigation led by the Anti-Corruption Office to assess whether any governmental misconduct occurred. The statement clarified that Milei did not participate in the cryptocurrency’s development while announcing the formation of a task force to investigate the entire situation surrounding $LIBRA.
Digital expert Javier Smaldone characterized the endeavor as a “global scam,” citing an estimated $107 million profit. Moreover, former president Cristina Kirchner labeled Milei as a “crypto-scammer,” prompting calls from legislators for a special commission to investigate the matter further.
Francisco Onato, Milei’s personal lawyer, contended that the President’s actions were purely an attempt to stimulate the economy and did not imply criminal intent. The unfolding of these events has raised significant concerns regarding cryptocurrency oversight and regulation in Argentina.
The rise and fall of the cryptocurrency $LIBRA, promoted by President Javier Milei, has raised alarms about possible fraudulent activities. The subsequent investigation aims to clarify accountability and whether any unethical conduct occurred within the government. As criticism mounts, the incident underscores the need for stricter regulations and oversight in the cryptocurrency space, especially in politically sensitive environments like Argentina.
Original Source: www.france24.com
