On February 15, Argentine President Javier Milei announced the launch of a Meme coin called LIBRA through his official X and Instagram accounts to promote the growth of the Argentine economy, and published the relevant contract address.

The token is currently experiencing wild price fluctuations, with its market value having fallen from a high of nearly $5 billion to $1.1 billion.

Here is an introduction to Javier Milei

Milley is considered to hold right-wing libertarian economic views, and some even consider him to be far-right. He advocates reducing taxes, relaxing business regulations, and cutting government services to allow the private sector to play a greater role in the economy.

Major Policies and Reforms

  • Government Spending Cuts: The Mile government has adopted a 'state chainsaw' strategy, drastically reducing government departments and employees to lower government spending. For example, he closed tax authorities, implemented large-scale deregulation, and cut university funding.

  • Monetary Policy Adjustment: To curb inflation, Mile's economic team stopped the central bank from excessively issuing pesos and injected about $15 billion into the financial system, encouraging Argentinians to deposit hidden dollars in banks, thereby reducing demand for black market dollars and easing exchange rate pressure.

  • Energy Subsidy Adjustment: The Mile government reduced spending in the natural gas sector and offered tax incentives to attract private company investments.

  • Trade Policy Adjustment: The Mile government lowered tariffs.

Economic Impact

  • Inflation: The Mile government has made controlling inflation a top priority and has achieved some success. The monthly inflation rate has decreased from 12% to 2.4%.

  • Poverty Rate: At the beginning of Mile's term, the poverty rate had risen, but it has since decreased. Some analyses point out that the previously low poverty rate was due to unsustainable subsidy policies, and the Mile government is implementing necessary reforms for long-term economic stability.

  • Economic Stability: Some commentators believe that the Argentine economy is currently in a more stable state compared to last year, and the value of the Argentine peso has also increased.

  • Market Reaction: Argentina's financial markets have risen since Mile took office, and international confidence in Argentina has strengthened.

Social Impact

  • Controversial Policies: Mile's economic reforms have led to recession and social issues, such as rising prices, impacting the working class and middle class.

  • Support and Opposition: There is a significant divide in Argentine society regarding evaluations of Mile. Some support his anti-corruption efforts, clear economic plans, and believe he is bringing change to the country. Others criticize his policies for exacerbating poverty and harming the interests of the working class and middle class.

Meme Token Project: Libra

In February 2025, Mile announced the issuance of a digital token called LIBRA, aimed at stimulating the economy by funding small businesses. However, the project has raised many concerns:

  • Token Distribution: 82% of the LIBRA token supply has been unlocked and distributed across multiple associated addresses, which may indicate centralized control or potential manipulation.

  • Project Association: The LIBRA token is associated with the KIP Protocol, which is a Web3 artificial intelligence framework that previously collaborated with the blockchain committee of the Buenos Aires city government.

  • Expert Warnings: Conor Grogan, the product head at Coinbase, warned that projects with large-scale issuance typically require the use of multi-signature wallets and strict KYC measures. The LIBRA project lacks these measures and may pose risks.

Summary

Javier Mile's administration has brought profound changes to Argentina. His economic reforms have stabilized the economy to some extent and controlled inflation, but they have also triggered poverty and social issues. Evaluations of him from various sectors are mixed, and his LIBRA token project has also been controversial due to its distribution method and potential risks.