Argentina’s President Milei Cleared in LIBRA Crypto Probe, but Legal Risks Persist

BUENOS AIRES, June 9, 2025 – Argentina’s President Javier Milei has been cleared of ethical misconduct by the country’s Anti-Corruption Office in relation to the controversial $LIBRA memecoin incident. The resolution, issued on June 5, determined that Milei promoted the LIBRA token on his personal X account as a private citizen, not in his official capacity.

Watchdog Finds No Ethical Breach

According to the agency, Milei did not misuse government resources or breach any public duty when he tweeted about LIBRA on February 14. His actions, they stated, were protected under his constitutional rights to free expression and political participation.

The office emphasized that social media activity from personal accounts typically reflects individual political views and does not automatically imply misuse of public office.

However, officials clarified that this decision solely addresses the administrative ethics inquiry. Multiple criminal investigations remain active, targeting serious allegations including market manipulation and securities fraud.

The LIBRA Token Collapse

The LIBRA memecoin became a headline-grabber almost instantly:

• It launched on February 14 and skyrocketed to a reported $4.6 billion market cap.
• Within hours, the token plummeted over 90%, fitting the profile of a classic rug pull.
• Approximately 74,000 investors reported losses, while insiders allegedly profited by over $286 million.
• The scandal spurred over 100 criminal complaints and drew investigative attention from Argentina, the United States, and Spain.

Adding to the controversy, Milei’s administration abruptly dismantled a task force that had been set up to investigate the incident. Critics labeled this move an attempt to suppress vital findings.

Legal Challenges Still Loom

While the ethics probe is closed, legal troubles are far from over:

• A federal judge has ordered a review of Milei’s financial records along with those of his sister, who is suspected of communicating with LIBRA creator Hayden Davis.
• Separate federal court cases are examining charges of fraud, conspiracy, and securities law violations.

Nicknamed “Cryptogate,” the LIBRA debacle has cast a long shadow over the early days of Milei’s presidency. Although this recent clearance offers some political relief, the ongoing criminal investigations ensure the saga continues.