Political Controversy Erupts in Argentina Over President Milei’s Crypto Token Promotion
February 15, 2025 – Buenos Aires, Argentina
Argentina’s president, Javier Milei, is facing backlash following the promotion of a cryptocurrency token that experienced dramatic fluctuations in value shortly after his endorsement. The token, called $LIBRA, initially surged but subsequently plummeted, prompting concerns about its legitimacy and the president’s involvement in its promotion.
The Initial Promotion
On Friday night, President Milei took to social media to announce his support for the $LIBRA coin, asserting that it would provide a boost to the economy and benefit small businesses. This endorsement caught the attention of investors, causing a spike in the token’s value. However, this rise was short-lived as alarms began ringing about the potential risks associated with investing in the coin, leading many to speculate whether it might be a scam.
Swift Retraction and Investigation Announced
Just five hours after his initial post, President Milei deleted the tweet from his personal account. He later clarified his position, saying, “I was not familiar with the details of the project, and after having informed myself I decided not to continue disseminating it (that is why I deleted the tweet).” This retraction did little to quell the growing discontent.
In a subsequent post on his official presidential account late Saturday, Milei framed his endorsement as a routine promotion of a business and announced the launch of an investigation. He stated that he and his government would seek to determine whether any laws had been breached in the process of promoting the cryptocurrency.
Political Fallout and Reactions
The fallout from this incident has been significant, with various political factions responding strongly. A coalition opposing Milei’s libertarian administration labelled the situation “a scandal without precedent.” Another political bloc has already moved to create a congressional commission to further investigate the circumstances surrounding the promotion of the $LIBRA token.
Critics argued that Milei’s actions not only misled the public but also drew unwelcome comparisons to high-profile endorsements from figures like former President Donald Trump, who recently promoted his own cryptocurrency, $Trump, which similarly experienced a volatile market response.
Conclusion
As the investigation unfolds, President Milei’s administration will have to navigate the political ramifications of this incident. With calls for accountability coming from various corners of society, the long-term effects on Milei’s presidency and the broader cryptocurrency landscape in Argentina remain to be seen.
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