Argentina’s President Javier Milei admitted to a mistake after promoting the cryptocurrency $LIBRA, which soared then crashed. This led to an urgent investigation by his office and criticism from economists and political opponents who suspect fraud. Milei distanced himself from the project, stating he had no prior knowledge or affiliation with it.
On Saturday, Javier Milei, the President of Argentina, acknowledged a mistake after endorsing a cryptocurrency, which experienced a significant rise before crashing. His office subsequently initiated an urgent investigation into the incident. Milei had previously promoted the cryptocurrency, referred to as $LIBRA, in an attempt to stimulate growth within the Argentinian economy by supporting small businesses and entrepreneurs.
Following the initial surge in its value, Milei erased his promotional post, stating, “I did not know the details of the project and after learning about it, I decided not to continue promoting it.” He distanced himself from the project, asserting he had no affiliations with the purported private company behind it.
Economists, crypto specialists, and opposition leaders criticized Milei, suggesting the cryptocurrency could be fraudulent, likening it to a Ponzi scheme. Industry analysts described the situation as a “rug pull,” where developers quickly sell off their tokens after inflating their worth. Reports indicated that major investors liquidated substantial amounts shortly after the launch, leading to a sharp decline in value.
In response to the controversy, the Argentinian presidency announced the involvement of the Anti-Corruption Office to investigate potential misconduct by government officials concerning the cryptocurrency’s rollout. Milei claimed he was not involved in its development, and an investigative team was formed to scrutinize the cryptocurrency’s launch and related parties.
Javier Smaldone, a computer scientist, labeled the operation a “global scam” and noted that profits from the venture may have reached approximately $107 million or more. Additionally, former President Cristina Kirchner has labeled Milei a “crypto-scammer,” while calls for a parliamentary inquiry into the matter have emerged from opposition figures. Milei’s lawyer stated that the president’s actions were intended to support the economy without criminal intent.
In summary, President Javier Milei of Argentina publicly admitted a misstep after endorsing the cryptocurrency $LIBRA, which experienced a meteoric rise before plummeting. This led to widespread criticism from economists and opposition leaders who raised concerns about the legitimacy of the project. An investigation has been initiated to determine any misconduct, as calls for further inquiry echo throughout the political landscape.
Original Source: www.france24.com
