NEW #MileiMemeCoinControversy

Recently, Argentine President Javier Milei was involved in a controversy over the promotion of a cryptocurrency called $LIBRA. On February 14, 2025, Milei posted on his social media accounts, stating that $LIBRA aims to "boost Argentina's economic growth by funding small businesses and local projects." Following the promotion, the value of $LIBRA skyrocketed, reaching a market capitalization of $4.56 billion. However, Milei deleted his post shortly afterward, causing the price of $LIBRA to plummet by 94%.

As a result, more than 40,000 investors suffered significant losses, and allegations emerged that the incident was a "rug pull" scheme, where an insider deliberately inflates the price of an asset and then sells it, leaving other investors with huge losses. The political opposition in Argentina called for Milei's impeachment, accusing him of ethical violations and fraud.

Milei denied the allegations, stating that he was only "spreading information" about $LIBRA and had no intention of officially promoting it. He also claimed to have no direct involvement in the development of the project and was unaware of specific details when he shared the information.

The controversy has affected the Argentine economy as a whole. The S&P Merval index on the Buenos Aires Stock Exchange fell 5.6%, and the Argentine peso weakened 2% against the US dollar. Although the political opposition is pushing for impeachment, analysts believe they are unlikely to gain the majority needed to remove Milei. However, the incident is expected to damage the reputation and credibility of his government ahead of the upcoming general election.

Additionally, one of the developers of $LIBRA, Hayden Mark Davis, stated that the project was an “experiment” that failed. This statement adds to doubts about the legitimacy of the project and raises questions about the lack of oversight and regulation in the launch of such a cryptocurrency.