- Argentine lawyers filed a fraud complaint against President Milei, accusing him of promoting and then deleting a post about the failed $LIBRA cryptocurrency.
- The case alleges Milei’s actions resemble a “rug pull”, where a token is hyped, then abandoned, causing millions in investor losses.
- Milei’s office denied wrongdoing, stating he was unaware of the project’s details, though reports confirm his team met with KIP Protocol representatives.
Argentine lawyers have filed a fraud complaint against President Javier Milei, accusing him of promoting a cryptocurrency on social media that later collapsed.
The coin, $LIBRA, was hyped by Milei in a post on X (formerly Twitter) last Friday, where he claimed it would boost economic growth by funding small businesses and startups.
A few hours later? He deleted the post, and $LIBRA’s price tanked, causing millions in losses for investors.
Was This a “Rug Pull”? Lawyers Say Yes
A group of lawyers, economists, and engineers formally filed a complaint in criminal court, claiming Milei’s actions were central to a fraudulent scheme.
- Attorney Jonatan Baldiviezo called it an “illicit association to commit fraud”, saying the president’s role was crucial in misleading investors.
- The situation resembles a classic “rug pull”, where a crypto project attracts buyers, then collapses as insiders bail out.
The case is expected to be assigned to a judge or prosecutor for further investigation on Monday.
Milei’s Defense—”I Didn’t Know the Details”
The President’s Office quickly distanced itself, saying Milei was not involved in the project’s development and only deleted the post to prevent further speculation.
“The President frequently promotes Argentine entrepreneurs,” the statement read.
However, reports later confirmed Milei and his team had recently met with representatives from KIP Protocol, the company behind $LIBRA.
Hayden Mark Davis, one of KIP Protocol’s key figures, fired back, blaming Milei for the project’s downfall, saying the president abruptly withdrew his support.
With Argentina’s Anti-Corruption Office now investigating, this crypto scandal is far from over.
