New Revelations Reignite Crypto Scandal Involving Argentina’s President Milei
Buenos Aires, April 6, 2026 — New evidence has emerged reopening a cryptocurrency-related scandal involving Argentina’s President Javier Milei, raising serious questions about his prior denials of involvement in the controversial launch of the digital token $Libra. The revelations come amid an ongoing federal investigation into the sudden rise and subsequent collapse of the cryptocurrency, which caused substantial financial losses to investors and has cast shadows over the Milei administration.
Background of the $Libra Incident
Last year, President Milei publicly promoted $Libra, a newly created cryptocurrency promising to support small Argentine businesses. Following his endorsement on the social platform X, which included the purchase code for the token not publicly available at the time, $Libra’s value experienced a dramatic surge. However, this was short-lived as the token rapidly plummeted, leaving many investors with losses estimated at $250 million.
The incident was widely classified as a "rug pull" in cryptocurrency parlance—where early insiders sell off their holdings at the peak, abandoning other buyers with effectively worthless assets. Shortly thereafter, Argentine federal prosecutors launched a criminal inquiry into the coin’s collapse.
New Evidence Suggests Greater Presidential Involvement
Though President Milei has consistently denied personal involvement, asserting he merely highlighted a private venture, court documents leaked to The New York Times reveal a more complex picture. Phone logs disclose that on the night of $Libra’s launch in February 2025, Milei engaged in seven phone calls with Mauricio Novelli, the Argentine entrepreneur behind the coin. These calls bracketed the president’s public social media endorsement though their content remains undisclosed.
Moreover, communication records show that Novelli contacted other senior presidential advisers, including Milei’s sister and top advisor, Karina Milei, and Santiago Caputo. The logs and newly uncovered WhatsApp audio messages also suggest that Milei received recurring payments from Novelli while serving in Congress, described in one exchange as a consistent monthly “salary.”
The president has neither publicly addressed these phone logs nor responded to requests for comment. According to court documents reviewed by The Times, Milei is named as a person of interest but has not been formally charged with any crimes connected to the investigation.
Political Fallout and Wider Allegations
The unfolding scandal threatens to undermine the political standing of President Milei, who rose to power in 2023 campaigning against corruption and the established political class. Opposition lawmakers are pressing for accountability, demanding testimony from key government officials before Argentina’s Congress regarding the cryptocurrency affair.
Maximiliano Ferraro, an opposition lawmaker who spearheaded the congressional inquiry, stated: “The launch and promotion of $Libra was not at all improvised or accidental on the part of the president. It was a planned, coordinated and deliberately executed operation.” The investigation alleges that Milei’s public endorsement was instrumental in triggering the initial spike in $Libra’s value.
Compounding the administration’s challenges, a leaked audio recording purportedly implicates Karina Milei in a separate bribery scheme, although the authenticity of the tape has not been verified and has been denied by the president. Additionally, Manuel Adorni, Milei’s chief of cabinet, is under scrutiny for alleged misuse of travel and expense allowances, allegations he has denied.
Historical Connections and Financial Dealings
Further scrutiny reveals that Milei’s connections with Novelli date back several years. Before entering politics, Milei taught at Novelli’s investing academy in 2020 and endorsed another Novelli-linked crypto venture in 2022—a video game project that similarly collapsed but did not trigger public investigations.
Draft financial documents discovered on Novelli’s phone outline potential payment schemes totaling $1.5 million, potentially linked to Milei’s public appointment of American consultant Hayden Davis as a blockchain and artificial intelligence adviser. Notably, Davis previously helped launch a cryptocurrency project associated with Melania Trump. Davis has claimed he was merely an adviser and gained no financial benefit; he did not comment on the current developments.
Legal and Investigative Status
Novelli’s lawyer has moved to exclude the forensic analysis of his client’s phone, contesting the integrity of the evidence on grounds of possible tampering. Neither Novelli nor other individuals named have been formally charged. Conversely, the investigation continues under prosecutors including Eduardo Taiano, who has defended the inquiry amid calls for his removal by commission leaders accusing him of investigatory delays and withholding evidence.
Conclusion
The resurfacing of these allegations has intensified the political and legal pressure on President Milei and his administration, highlighting the contentious intersection between politics and the rapidly evolving cryptocurrency sector in Argentina. As investigations proceed and political debates escalate, the Milei government faces ongoing scrutiny and demands for transparency regarding $Libra and other alleged irregularities.
Reporting from Buenos Aires, Daniel Politi and Emma Bubola, The New York Times.