President of Argentina Javier Milei is embroiled in a serious crypto scandal involving the memecoin Libra. Recent data reveal over $99 million withdrawn from its liquidity pool.
Liquidity Pool Withdrawals
According to data from Chainalysis, eight wallets withdrew significant funds from Libra’s liquidity pool. While the wallet owners remain unidentified, Chainalysis confirmed these addresses received tokens directly from Libra’s creator.
Social Media Post and Its Consequences
The controversy erupted on February 14 when Milei endorsed the $LIBRA token in an X post, triggering a buying frenzy that pushed its price above $4.50 before it crashed within hours. Milei later deleted the post and denied any ties to the token’s creators, though he admitted to meeting them. He insisted his post was not investment advice, dismissing the scandal as a politically motivated attack.
DEX Response and Insider Trading Allegations
On February 17, decentralized exchange Jupiter disclosed that some of its team members had prior knowledge of a potential Argentina-linked token. However, they claimed they lacked details such as its timing or contract address. Jupiter stated that Kelsier Ventures, an investment firm, had informed them about the project two weeks earlier, confirming Milei’s involvement. The DEX’s team denied insider trading, stating they never received $LIBRA tokens or compensation. They clarified that they listed $LIBRA only after public confirmation and sufficient market volume.
The scandal involving Libra and the President of Argentina has sparked significant questions and assumptions about transparency and accountability in the crypto world. Investigations continue, and their results could have notable impacts on future developments.
