Argentine lawyers file complaint with US DOJ, FBI over LIBRA allegations
Argentine lawyers file complaint with US DOJ, FBI over LIBRA allegations
A group of Argentine lawyers filed a criminal complaint with the U.S. Department of Justice and the FBI on Feb. 17, alleging misconduct linked to the collapse of the LIBRA token.
Key Takeaways
- Argentine lawyers filed a criminal complaint with the DOJ and FBI over the LIBRA token collapse.
- The complaint calls for an investigation of President Javier Milei and key figures behind LIBRA.
- LIBRA's market cap surged to $4.56 billion after Milei's post, then plummeted to $257 million.
- Opposition lawmakers are pushing for impeachment amid allegations of bribery and fraud.
The complaint not only targets the individuals behind LIBRA’s dramatic downfall but also calls for an investigation into Argentine President Javier Milei. According to reports from Clarin, the filing follows a surge in LIBRA’s value on Feb. 14 after a now-deleted post by President Milei on X, in which he touted the project as a means to fund small Argentine businesses and start-ups. The post, which included the token’s contract address, sent LIBRA’s market capitalization soaring to $4.56 billion before it plunged to $257 million within hours. Concurrently, the Civic Coalition ARI lodged a separate complaint urging the Ministry of Justice to investigate allegations of bribery and fraud allegedly promoted by Milei, arguing that the government should not act as both judge and jury, reports Cointelegraph.
Political fallout and industry response
The fallout from the LIBRA debacle has further intensified political scrutiny. Opposition lawmakers, including Leandro Santoro, have hinted at possible impeachment proceedings against President Milei, asserting that the scandal has marred Argentina’s international reputation. In an effort to distance the administration from the controversy, government officials claim that Milei was “scammed” in good faith by the traders behind LIBRA and remained unaware of the token’s underlying funding mechanisms.
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The controversy has not been without international echoes; on Feb. 17, U.S. President Donald Trump took to Truth Social to mock the situation, sharing a post featuring Milei and a quip about diploma printing. Meanwhile, LIBRA’s founder Hayden Davis defended the token’s collapse in an interview with Coffeezilla, dismissing social media criticism as coming from those who did not participate in the deal.
LIBRA price. Source: СoinGecko.
As legal and political challenges mount, stakeholders in both the crypto and political spheres will be closely monitoring the unfolding investigations and potential regulatory shifts.
