- Libra Crash extends debate on pump and dump schemes in crypto markets.
- Javier Milei denies misconduct and relieves most affected investors as bots in the midst of legal research.
The Libra Memecoin scandal continues to unfold, with new controversies that pop up every day.
The president of Argentina, Javier Milei, is now central to the storm after being accused of endorse the cryptocurrency before the rapid collapse.
Although Milei has denied promoting token, the fall -out has been serious, in which investors are confronted with heavy losses and the president is now fighting fraud lawsuits and accusation.
Milei’s defense
As the control increases, the incident raises crucial questions about political influence on cryptomarkets and the risks of non -regulated digital assets.
In his first audience address Because the controversy of the scales – has now labeled ‘Libragate’ by local media, Milei spoke with Todo Noticias.
He said,
“I didn’t promote that. What I did, I spread the word. ‘
What happened?
The Solana-based token of the Libertad project, Libra [LIBRA]Saw a meteoric rise and achieved a market capitalization of $ 4.56 billion on February 14 after the approval of Milei on X (formerly Twitter).
However, the value fell by 94% after he had removed the mail, causing accusations of a pump and dump scheme.
Milei defended his actions and insisted that he acted in ‘good faith’ and ‘nothing to hide’, but admitted that he had to be more careful.
He acknowledged the importance of determining clearer limits on appropriate behavior, and emphasized that every fall -out of the launch of the token must only be tackled by the directly involved.
He said,
“The state plays no role here.”
Who was affected?
Milei rejected the concern about the 44,000 investors affected and claimed that the majority was only automated bots and said,
“The best case scenario is 5,000 people.”
He added,
“I would tell you that the opportunities that there are Argentines is very, very remote.”
The Fallout
Federal Judge María Servini in Buenos Aires investigates fraud allegations against Milei about his alleged approval of the token. The investigation follows several legal complaints submitted by Argentinian lawyers.
In the meantime, Economy was looking for Minister Luis Caputo minimize The controversy. During his interview on 17 February, with La Política Online (according to a YouTube-generated translation), he stated:
“Cryptocurrencies are a small, infinite world. It is a world of specialists that is very difficult to understand. “
Caputo also emphasized the speculative character of the crypto space, referring to many participants as “Timbero “ What translates into “gamblers”.
Libra’s price process
Unnecessary to say that the scales smoke continues its downward spiral and is traded according to the press of $ 0.3265, after a decrease of 12.10% in the last 24 hours, according to Dexscreener.
Therefore, as the controversy unfolds, concern about the investigation of the regulations and the losses of investors is further increasing.
This leaves questions about responsibility and the broader implications of political notes in the cryptomarket.