Argentine President Javier Milei finds himself at the center of a political firestorm. Calls for impeachment and accusations of fraud have erupted after his controversial promotion of a cryptocurrency led to massive financial losses for investors.
The trouble began Friday when Milei posted on X, formerly known as Twitter, praising the $LIBRA coin. He claimed the cryptocurrency would support small businesses and start-ups. The president even shared a link to buy the coin, sparking a surge in its value. But just hours later, Milei deleted the post, and the cryptocurrency’s value plummeted, leaving investors with heavy losses.
Accusations of Fraud and Political Fallout
Opposition figures and legal experts quickly pounced on the fallout. Some have accused Milei of orchestrating a “rug pull,” a scheme where cryptocurrency promoters lure investors, only to abandon the project and pocket the proceeds. Critics noted that the link Milei shared included a phrase often used in his speeches, fueling suspicions of his involvement.
Legal complaints have already been filed in Argentina’s criminal courts. Jonatan Baldiviezo, one of the plaintiffs, argued that “the crime of fraud was committed, in which the president’s actions were essential.”
Meanwhile, the president’s political opponents have seized the moment. Former President Cristina Fernández de Kirchner blasted Milei on social media, labeling him a “crypto scammer” in a widely viewed post. The country’s main opposition coalition echoed her criticism, calling the situation an “unprecedented scandal” and announcing plans to file for impeachment. Esteban Paulón of the Socialist Party also said he would request formal impeachment proceedings.
Government Pushes Back
Milei’s administration has denied any wrongdoing. In a statement on Saturday, the presidential office claimed the post was deleted to prevent “speculation” about the cryptocurrency. Officials insisted that Milei had no role in developing $LIBRA and promised an investigation by the government’s Anti-Corruption Office to determine if misconduct occurred.
Despite these assurances, the damage to Milei’s political standing may be hard to repair. With legal cases looming and impeachment calls growing louder, the president faces a steep uphill battle. As tensions rise, Argentina watches closely to see how this crypto scandal unfolds at the highest levels of power.
This controversy could prove to be a defining moment for Milei’s presidency—and for the country’s relationship with cryptocurrency.
