MercoPress. South Atlantic News Agency

Libra token scandal: what is known one year after Milei’s post

The controversy began on 14 February 2025, when Milei shared a link and technical details to access the token, which was framed as part of a private initiative

One year after Argentine President Javier Milei posted on X promoting the $Libra crypto token —and later deleted the message— the episode remains under legal and political scrutiny, with proceedings in Argentina and civil claims in the United States still active.

The controversy began on 14 February 2025, when Milei shared a link and technical details to access the token, which was framed as part of a private initiative. The asset then spiked and swiftly collapsed, prompting complaints from affected investors and calls for investigations. Milei said at the time he had no role in developing the project and argued the backlash was being weaponised politically.

In an interview following the scandal, the Argentine president compared investors—whom he had encouraged to invest in Argentina's real economy—to casino gamblers. “If you lose money, what's the problem?” he challenged.

A parliamentary investigative commission later concluded that the presidential promotion was pivotal to the token’s reach. In its report, the commission estimated that 114,410 wallets incurred losses, while a small number posted multimillion-dollar gains; it also stated the promotion was carried out “using the presidential office”.

On the criminal side, Argentina’s investigation has involved steps focused on operators and alleged local intermediaries connected to the token’s launch and trading. Public debate has centred on whether the case fits patterns associated with “pump and dump” or “rug pull” schemes, and whether any profits were driven by privileged information or prior coordination.

Separately, a New York class action seeks financial compensation and largely targets private actors linked to the token. Reporting based on court filings says the case includes allegations about access-brokering around Milei’s circle and purported private communications attributed to one individual; those claims remain contested and subject to judicial examination.

Institutionally, the government launched and later wound down administrative review mechanisms, while the scandal continued to fuel tensions between the ruling coalition and opposition forces pushing for accountability through congressional inquiries.