Key Notes
- Argentina’s lawmakers approved the formation of an investigative commission into the LIBRA scandal.
- High-ranking officials, including the economy and justice ministers, will be summoned to testify.
- Congress has also demanded detailed records from the executive branch regarding the token.
Argentina’s Chamber of Deputies has officially opened an inquiry into the LIBRA meme coin scandal. The lawmakers have decided to form an investigative commission and a summons for high-ranking government officials.
They have also approved a formal demand for detailed records from the executive branch, according to the press release.
⭕️ | URGENTE: Con 128 votos afirmativos, SE APROBÓ LA COMISIÓN INVESTIGADORA DE LA ESTAFA DE $LIBRA.
‼️ A partir de ahora, EL CONGRESO INVESTIGARÁ A JAVIER MILEI POR SU PARTICIPACIÓN EN LA CRIPTOESTAFA. pic.twitter.com/EYbvFRMDtx
— Diagonales (@diagonalesweb) April 8, 2025
Among those being summoned are Chief of Cabinet Guillermo Francos, Economy Minister Luis Caputo, Justice Minister Mariano Cúneo Libarona, and the head of the National Securities Commission, Roberto Silva.
Meanwhile, the crypto community on X remained divided over whether Milei himself should testify.
Deputy Pablo Juliano, a vocal proponent of the investigation, emphasized that the legislature has a duty to ensure transparency. “We have a commitment to the truth,” he said.
On the other hand, Argentine President Javier Milei’s La Libertad Avanza party’s Deputy Nicolás Mayoraz accused Congress of politicizing the matter. He warned that Congress was “assuming powers that belong solely to the Judiciary.”
Ruling party bloc leader Gabriel Bornoroni noted that the government maintained a fiscal surplus throughout 2024 and that inflation is steadily decreasing. He criticized opposition lawmakers for “putting on a show.”
Libra Meme Coin Collapse
The LIBRA token controversy started on February 14, after President Milei took to social media to support the cryptocurrency. Created by Delaware-based Kelsier Ventures, the token was launched as part of a project called Viva La Libertad, promising to drive growth in Argentina’s startup ecosystem.
The token’s value skyrocketed soon after Milei’s post, rising from $0.000001 to $5.20 in just 40 minutes. But the founders, who controlled 70% of the total supply, dumped their holdings shortly after, sending the price free-falling to $0.99.
The president quickly deleted his promotional posts and denied any direct involvement, yet the damage was done. Over 100 fraud complaints, primarily from opposition-aligned politicians, were filed in the following days. International law firms, including Burwick Law, have begun organizing class action lawsuits representing suffered foreign investors.
Once boasting a $4.4 billion valuation, LIBRA’s collapse triggered a sharp downturn in the meme coin sector. According to CoinGecko, it marked the “final nail in the coffin” for the trend, amid market oversaturation and high-profile pump-and-dumps.
Platforms like Pump.fun have since seen a steep drop in user activity, with $26 billion wiped from the total meme coin market.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
A crypto journalist with over 5 years of experience in the industry, Parth has worked with major media outlets in the crypto and finance world, gathering experience and expertise in the space after surviving bear and bull markets over the years. Parth is also an author of 4 self-published books.
