The Argentine president publicly promoted digital assets in his networks; 1st meeting on the case should be on April 23
The House of Representatives of Argentina this Thursday (8.ab.2025) the creation of an investigating committee on the case of cryptocurrency $ Libra.
The case directly involves President Javier Milei (La Libertad Avanza, right), who publicly promoted digital assets on his networks. The Argentine president’s endorsement caused a quick appreciation followed by a $ pound collapse ,.
The project received 128 favorable votes, 93 contrary and 7 abstentions. As it is an exclusive commission of the House, the approval of the Senate is not necessary. The 1st meeting should be on April 23.
The opposition was also able to approve the summons of 4 authorities to provide clarification on the case on April 22. They are:
- Guillermo Francoschief of staff;
- Luis CaputoMinister of Economy;
- Mariano Cúneo LibaronaMinister of Justice;
- Roberto SilvaChairman of the National Value Commission.
The ruling base tried to block the session, but faced dissent between allies. The opposition says that Congress cannot omit against a possible financial fraud encouraged by a public figure like the president. The government accuses opponents of turning the case into a “Political Circus” for electoral purposes.
Remember the case
It all started on the night of February 14. At 7:01 pm, Milei made a publication on the X (former Twitter) promoting at $ Libra. Said the asset was a “Private Project” to “Encourage the growth of the Argentine economy, financing small companies and Argentine enterprises”.
The name of the project shared by the Argentine leader was “Viva La Libertad”, a reference to his famous slogan “”.
The publication, erased later, also included a link for the purchase of the asset. It was done a few minutes after the release of the cryptocurrency – realized at 6:37 pm at Blockchain Solana. The starting price of the asset was $ 0.25.
Until the publication of Milei no X, no transaction had been registered. Then a series of large values purchases begin to be made. According to information, the 1st substantial acquisition was at 7:01 pm, the same time as the Argentine president’s tweet. It was $ 3.5 million.
From 7:01 pm to 9:06 pm, several high value transactions were carried out, totaling more than $ 22 million.
At 7:43 pm, a purchase of $ 19,038 is registered. At the same time, the price of $ Libra fires from $ 0.25 to $ 5.54, reaching its peak. It is from there that the scenario changes.
At 20:11, a massive process of sales of cryptocurrency was focused. For example, transactions of US $ 3.8 million and US $ 3.5 million were recorded. The 10 highest value sales were made from 7:16 pm to 8:32 pm.
Mass sales caused an abrupt drop in the $ pound value. At 8:11 pm, the price fell from $ 5.54 to $ 1.64. At 8:45 pm, he was negotiated for $ 0.96. At 9:03 pm, it was $ 0.89.
At 0:38 am February 15, Malei talking about his first post. He said he had no bond with the initiative. And he said he published the tweet supporting the project as he would with any other private venture, but without in -depth knowledge about it. He also said that after finding himself better, he decided to delete the publication and stop promoting cryptocurrency.
“For the filthy political rats of the political caste that want to take advantage of this to cause damage, I mean that every day they confirm how low the politicians are and further increase our conviction of expelling them to kicks.”said the Argentine President.
Minutes later, at 0:56, at $ Libra began to be negotiated at $ 0.26. The value was “evaporated” because of the strong initial speculation followed by mass sales.
O, in a statement on February 15, which opened a “Urgent investigation on the launch of the $ Libra cryptocurrency and all companies and individuals involved in the operation”.
The presidential office also explained Milei’s relationship with cryptocurrency. He said the Argentine leader met with representatives of the company Kip Protocol on October 19, 2024, when he was presented to a blockchain funding project called “Viva La Libertad”.
In January 2025, he also found a businessman involved in the project infrastructure, but without ties to the government.
The statement also says that Milei only released the project on his social networks, as he does to other entrepreneurs, without direct participation in the creation of cryptocurrency.
Also in an X X, the Kip Protocol said that although his CEO, Julian Peh, met with Milei in October 2024, there was no discussion about the project or release of cryptocurrencies.
The company also stated that it had no participation in the launch of $ Libra, nor in project management. He said he was informed about him only in February 2025, after the launch. The company also denied any relationship with Hayden Mark Davis, indicated as the creator of cryptocurrency.
Or what is known about $ Libra
Cryptocurrency launched on February 14 is a , or “Cryptocurrency-meme”. This type of digital asset values mainly through viralization, that is, its value and popularity are driven by memes, humor on social networks and topics of great engagement on the internet.
They can also be associated with personalities. One of the first memecoins Gaining prominence was Dogecoin. Cryptocurrency was created in 2013. It is. Another example is at $ Trump, by US President Donald Trump (Republican) in January.
Unlike other more traditional cryptocurrencies, such as Bitcoin or Ethereum, the memecoins They usually do not have a specific purpose, economic utility or an innovative underlying technology. Its value is highly speculative and volatile.
However, the pound is a Memecoin It is not the only factor that explains the impact of its creation and the reaction of the market. The main hypothesis is that cryptocurrency developers applied the scam known as “rug pull” (“Pulled carpet”in the free translation).
Practice occurs when developers manipulate the market to artificially increase the price of cryptocurrency and then sell their participation while the price of the asset is still high. This causes a drastic drop in value and harms other investors.
In the case of $ Libra, the suspicion is that cryptocurrency creators controlled a significant portion of digital currency and waited for Milei’s endorsement to attract a large number of new investors. Mass purchases of the asset may also have been made with the use of bots.
After $ Libra’s price went up with the increase in purchase transactions, developers began selling their cryptocurrencies, devaluing digital currency and causing significant damage to other investors who were not part of the scheme. Experts estimate that the episode resulted in illegal profits of $ 80 million to $ 100 million.
