In brief
In a recent development, a federal judge in Argentina has quietly dropped the criminal investigation that implicated President Javier Milei and his sister Karina in a cryptocurrency scandal involving the short‑lived $Libra token. Prosecutors requested the dismissal, and the court ruled that the events did not meet the legal definition of fraud or deceptive conduct. Milei had earlier claimed that he merely promoted the coin as a source of funding for small businesses, but the price spiral followed by a sharp collapse led to investor losses and calls for impeachment from opposition lawmakers. The judge’s decision effectively clears the president of any wrongdoing, though the anti‑corruption office will still determine whether any improper actions were taken. The case highlights the volatile intersection of politics and digital currencies in Argentina’s evolving economic landscape.
Argentina Drops Investigation into President Milei Over Crypto Fraud
Federal Judge Marcelo Martinez de Giorgi has officially terminated a criminal investigation that had tied Argentine President Javier Milei and his sister Karina to a cryptocurrency scam involving the short‑lived $Libra token. The decision came after prosecutors formally requested the case’s dismissal, and the court concluded that the alleged incidents did not satisfy the legal criteria for fraud or any criminal deception.
Earlier in February 2025, President Milei posted a link to $Libra on X (formerly Twitter), claiming it would help fund small businesses and start‑ups. The coin’s price spiked as investors rushed in, only to plummet a few hours later, leading to widespread financial losses and accusations from opposition members of Congress that the president had orchestrated a “rug pull.”
Milei and his office maintained that the president did not develop or support the cryptocurrency; he stated that he merely shared a link and deleted the post once he realised the project’s details were unclear. In a televised interview, Milei emphasized that investors had voluntarily entered the market and were aware of the inherent risks.
With the investigation now closed, speculation about impeachment proceedings has eased temporarily, but the Anti‑Corruption Office will continue to examine whether any improper conduct occurred during Milei’s brief promotion of the token.
