Javier Milei, the president of Argentina, was officially exonerated of ethical violations linked to his social media post endorsing the LIBRA memecoin. Milei’s behavior has not been classified as an improper act and is considered a personal capacity act following conclusions made by the country’s Anti-Corruption Office (OA).
A scandal broke after Milei promoted the LIBRA token in a post on X (formerly Twitter) on 14 February, causing a surge in its market value to $4 billion. But only hours later, the token lost about 94% of its value, erasing nearly $251 million of investors’ funds. Essentially, many critics called it a classic case of a “pump and dump scam.”
As the backlash unfolded, political adversaries were quick to accuse Milei of wrongdoing and seek his impeachment. In spite of the blowback, the OA held that the president was just exercising his freedom of speech in accordance with Argentina’s constitution. The agency mentioned that no public funds or official resources were used in the promotion, and the post came from Milei’s personal account, which Milei has used since 2015, well before becoming president.
It all began with this post at 5:01 PM ET from Javier Milei.
— The Kobeissi Letter (@KobeissiLetter) February 15, 2025
As seen during President Trump's memecoin launch, the first hour was full of speculation:
Was this a hack or a real launch?
It turned out to be real as multiple other Argentinian politicians posted the news. pic.twitter.com/cL0ZQgxtCB
The president’s social media activity reflects the personal views of the president and is not institutional communication, said the OA. That type of expression is a citizen’s right.
Milei has always denied supporting the cryptocurrency. According to him, all he did was share information regarding the token. And has no involvement in developing or running the project.
Even if the investigation by the administration on Milei has ceased, the justice process continues. A federal criminal court investigation continues into the larger LIBRA incident, specifically regarding investor losses and suspected fraud.
Milei, on May 19, signed a decree to that effect to dissolve the force investigating the LIBRA affair, thus complicating things. Though there are no formal charges against him or any government official, the critics say the investigation was shallow and not independent.
According to Itai Hagman, who is an Argentine lawmaker and economist, it was never a true investigation. “They’re just protecting one another.”
The scandal appears to have dented Milei’s public approval. A survey carried out in March by Zuban Córdoba showed that his national approval rating fell from 47.3% in November to 41.6%, indicating damage from LIBRA.
Conclusion
The Anti-Corruption Office of Argentina has cleared President Javier Milei of any ethical wrongdoing in connection with the LIBRA token incident, but the controversy surrounding the incident remains. The end of the crypto scandal is not yet in sight, as a criminal court investigation is ongoing, and public confidence in them has been weakened.
