Hayden Davis, a co-creator of LIBRA, faces an Interpol Red Notice requested by Argentine attorney Gregorio Dalbon, citing procedural risks related to his financial resources. The LIBRA token has drawn controversy after a significant market drop, resulting in substantial investor losses. Davis asserts his innocence and has acquired legal representation, while President Milei denies any wrongdoing regarding his association with the token.
Hayden Davis, co-creator of LIBRA, is facing an Interpol Red Notice request from Argentine attorney Gregorio Dalbon, who has previously represented former president Cristina Fernández de Kirchner. This request was filed with prosecutor Eduardo Taiano and Judge María Servini, according to a March 12 report from Página 12. An Interpol Red Notice serves as a global alert to law enforcement for the provisional arrest of an individual, akin to notices issued in high-profile crypto cases like that of Terraform Labs’ Do Kwon.
Dalbon’s court documents assert that Davis played a significant role in the creation and promotion of the LIBRA token, presenting a “procedural risk” owing to his financial capacity to potentially evade authorities. The controversy surrounding LIBRA intensified after Argentine President Javier Milei mentioned it on social media shortly after its launch, leading to speculation that his endorsement accelerated its rapid rise before a subsequent price crash reduced its market capitalization by $4.4 billion.
Reports from blockchain analytics firm Nansen indicate that 86% of LIBRA traders incurred losses totaling $251 million. Critics allege that Davis and others orchestrated a pump-and-dump scheme, claiming that creators, including Davis, retained the majority of tokens and sold their holdings at the top, leading to significant investor losses.
In response to the allegations, Davis has recently hired a legal team, which includes Brian Klein from Waymaker Law, a firm renowned for handling complex financial crimes. Davis stated that he is innocent, expressing that his intentions were solely to ensure LIBRA’s success without defrauding investors. Concurrently, President Milei has rejected allegations of wrongdoing, clarifying that he simply shared information about the token without endorsing it formally.
Additionally, Prosecutor Taiano has expressed intentions to freeze approximately $110 million in assets related to the ongoing investigation into President Milei’s role in the LIBRA scandal, as reported by crypto.news.
In summary, the Interpol Red Notice against Hayden Davis emphasizes the legal challenges facing the LIBRA co-creator amidst significant financial controversy. Allegations of orchestrating a pump-and-dump scheme coupled with the dramatic financial fallout have led to investigations and legal action. Davis maintains his innocence, supported by a new legal team, while the implications of these events on both Davis and President Milei remain significant.
Original Source: crypto.news
