Argentine Judge Clears President Javier Milei of Fraud in LIBRA Meme Coin Scandal
Key Takeaways
- •An Argentine federal court has cleared President Javier Milei of fraud and criminal wrongdoing related to his promotion of the LIBRA meme coin.
- •Milei promoted the LIBRA token on X in February 2025, and its market value briefly climbed to roughly $4 billion before collapsing within hours, causing heavy losses for many retail investors.
- •The episode, dubbed 'Cryptogate' by local media, prompted opposition lawmakers to call for Milei's impeachment and led to multiple judicial investigations.
- •LIBRA, launched on the Solana blockchain and presented as a private initiative to fund Argentine small businesses, saw most buyers lose money while a small cluster of wallets captured most of the gains, according to blockchain analysts.
- •The court has not disclosed the legal basis for its clearance, and the ruling applies specifically to Milei, leaving other judicial investigations into the token's launch and promotion unresolved.
Argentine President Javier Milei has been cleared of criminal wrongdoing in the LIBRA meme coin scandal following a federal court ruling.
The decision is the latest development in a legal saga that has followed Milei since February 2025, when he publicly promoted the LIBRA token on X shortly after its launch. The token's market value briefly climbed to roughly $4 billion before collapsing within hours, inflicting heavy losses on many retail investors. Such rapid boom-and-bust cycles are characteristic of meme coins, whose valuations are driven largely by social media attention rather than underlying utility.
Milei deleted his promotional post and later said he had shared it without a full understanding of the project's details, denying any personal benefit or role in its operation. The episode, quickly dubbed "Cryptogate" by local media, prompted opposition lawmakers to call for his impeachment and led to multiple judicial investigations into the token's launch and promotion. It also placed a sitting head of state at the center of a criminal examination over a social media promotion, highlighting the scrutiny public figures can face when endorsing crypto assets.
LIBRA, launched on the Solana blockchain, had been presented as a private initiative intended to fund Argentine small businesses and entrepreneurial ventures. Blockchain analysts later estimated that the overwhelming majority of buyers who entered during the token's brief rally lost money, while a small cluster of wallets captured most of the gains.
Argentine federal judges examined whether the president's promotion of the token constituted fraud or other criminal conduct. The court has now cleared Milei of fraud and criminal wrongdoing in connection with the episode. Details of the ruling's legal reasoning were not immediately available, leaving the full basis for the clearance unclear. The ruling addressed the allegations against Milei specifically, and it remains to be seen the other judicial investigations into the token's launch and promotion will proceed.
Source: CryptoNewsNet
