- Milei promoted $LIBRA token on Twitter
- Token’s value spiked to $5 billion, then crashed to $200M
- Milei claims no knowledge of token details, faces fraud complaints
Argentina’s President Javier Milei has once again found itself in the middle of controversy regarding the launch of a dubious cryptocurrency project.
On Friday, the President went on Twitter to promote a new token by the name of $LIBRA, promising Argentineans that the new cryptocurrency would strengthen the economy and support local businesses in the nation.
With nearly 3 million followers on the platform, the President’s influence served as a catalyst for LIBRA’s exponential growth. In a matter of hours, the new coin had already reached nearly $5 billion market capitalization.
However, when the token was suddenly slumped, reaching a market cap as low as only $200M investors were suspicious that the sudden drop in value could be due to insider trading dumping the token.
Milei later defended himself, arguing that he had no knowledge of the token and that he was only supporting a private project, without without any financial involvement or direct connection to it.
Despite his claims, the Argentine political opposition—mostly linked to the “Peronism” movement—went after Milei. A group of lawyers, including the country’s former central bank president Claudio Lozano, filed fraud complaints against the President.
Milei Retweets Post About Libra
Despite the backlash, the President appears to not fear any potential investigations on his alleged involvement with the cryptocurrency.
Milei recently retweeted a post instructing users how to purchase the $LIBRA token, according to CoinTelegraph.
The post in question instructed users to create a Solana wallet, acquire SOL tokens, and then swap the tokens to $LIBRA.
After Milei’s retweet, the $LIBRA token surged in value once again, gaining over 60% in less than 24 hours.
Once again, the opposition and part of the crypto community are speculating about the potential involvement of the President with the cryptocurrency project. Meanwhile, Milei vehemently denies any relationship with Libra.
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