Coinspeaker
Argentina’s President Faces Impeachment Calls After Endorsing Failed Cryptocurrency
Argentine opposition politicians are calling for the impeachment of President Javier Milei following his promotion of a cryptocurrency that collapsed rapidly, reportedly causing millions of dollars in losses over the weekend.
$LIBRA Token Launch and Collapse
On 14th February, Milei endorsed the cryptocurrency token $LIBRA on X, claiming that it would “boost the growth of the Argentinian economy by supporting small businesses and entrepreneurs.” His post included a link to a website where the digital coin could be purchased, and the domain featured his catchphrase, “long live freedom.”
Milei added in the post, directed to his 3.8 million followers, that “the world wants to invest in Argentina.”
The token saw a rapid increase in value, jumping from almost nothing at launch to close to $5, before dropping to under $1. Argentina’s fintech chamber described the incident as potentially a “rug pull,” where the value of the cryptocurrency is artificially inflated before insiders sell off their holdings, causing the price to crash and rendering the token worthless.
Other experts in economics and cryptocurrency have suggested that the asset might be a scam or a Ponzi scheme.
Legal and Political Fallout
Hours after posting, Milei deleted his announcement, stating he was unaware of the details surrounding the cryptocurrency project. He denies promoting the coin. Despite this, the incident has triggered significant political backlash.
The federal prosecutor’s office is now reportedly considering an investigation into whether the president was involved in fraud, criminal conspiracy, or any breach of his responsibilities. On Sunday, a group of lawyers filed complaints in the criminal court, accusing Milei of playing a central role in the development and execution of the $Libra token scam.
One lawyer, Jonatan Baldiviezo, emphasized the involvement of Milei in a suspected coordinated effort to defraud people, calling his actions critical to the alleged crime.
Opposition lawmakers are pushing for President Milei’s impeachment following the cryptocurrency scandal. Lawmaker Leandro Santoro called for action, saying the scandal has caused international embarrassment.
Myriam Bregman, a former presidential candidate, also demanded answers, questioning who benefited from the situation. She noted Milei’s previous involvement in similar issues, emphasizing the severity due to his presidential role.
Cristina Fernández de Kirchner criticized Milei on X, accusing him of using his position to promote a private cryptocurrency and inflating its value, before claiming ignorance of the situation.
Comparisons to Trump’s $TRUMP Coin
The controversy has drawn comparisons to the $TRUMP memecoin launched by US President Donald Trump, which also saw an initial spike before crashing.
Milei hit back at his critics, calling them “filthy rats of the political caste” and accusing them of exploiting the situation for political gain.
His office stated that Milei was not part of the cryptocurrency’s creation and that the post was deleted to prevent further damage. They also confirmed that an investigation would be launched by the anti-corruption office.
Argentina’s President Faces Impeachment Calls After Endorsing Failed Cryptocurrency
