$110 Million Frozen as LIBRA Token Scandal Shakes Argentina Investors Lost 90%!  Will President Milei Face Impeachment?

Argentinian Federal Prosecutor Eduardo Taiano is investigating a financial scandal linked to President Javier Milei and LIBRA memecoin. The controversy began when Milei allegedly promoted the token before its collapse, causing huge investor losses. Authorities plan to freeze $110 million in assets, retrieve erased social media posts, and track questionable transactions. The scandal has fueled impeachment demands and could seriously impact Milei’s political future. Investigators continue discovering new wallet activity and possible money laundering schemes. The probe is expanding, increasing pressure on everyone involved and raising concerns about financial crimes tied to the cryptocurrency market.

Crypto Scandal Deepens: Prosecutor Probe Connections

Eduardo Taiano has requested that $110 million of assets be frozen. This request is in connection to the Argentinian President Javier Milei and the LIBRA token scandal. The Prosecutor in charge of this has also asked for Milei’s deleted social media posts to be recovered. This is because it is alleged that the Argentinian president endorsed the memecoin before the rug-pull.

The Argentinian Prosecutor is also looking for the detailed history of all transactions related to the LIBRA token. With this information, he can recreate the movement connection of related transactions from February 14 to 15. This period represents the highest trading volume for the memecoin. According to the Argentinian media outlet Clarín, Taiano is asking for the suspicious digital wallets to also be frozen. This is to prevent the funds related to the scam from being laundered and to be rendered untraceable. Moreover, Taiano is requesting foreign exchanges to gain access to more information.

$4.5 Million on the Move: Trail Leading to Laundering?

Clarín has reported that the investigation has already revealed a wallet related to this incident. The wallet in question has moved $4.5 million to a new address. Then, some of the funds had been used to purchase a memecoin named POPE. Based on this pattern, it can be speculated that the people behind the scam are now trying to launder the funds. 

Did Milei Know? Investigators Seek Clues

The Federal Prosecutor also listed any expert with knowledge of blockchain and crypto who could have helped Javier Milei. To do so, he is requesting all the call records and history of the visitors to the president’s residence. This scandal has also led the officials in political opposition to call for Milei’s impeachment. Moreover, this disaster has damaged Milie’s public image and might be critical in the upcoming congressional midterm elections. This comes as Milei stated that he did not promote this memecoin and that he spread the word.

Image 1- Provided by Kobeissi Letter – published on Tradingview – March 6, 2025.

Image 1, shows the deleted post from Miles’s X account. As highlighted, he dubbs the LIBRA as a memecoin for small businesses and startups. Although he deleted the post soon after it was posted, the LIBRA memecoin briefly reached  $4.5 on February 14. But in less than 12 hours, the token’s value dropped heavily, losing 90% and causing investors to lose millions. At least $107 million has been found to be transferred to eight wallets connected to the LIBRA token scandal. This has resulted in multiple lawsuits and the Argentinan crypto investigation.

New Regulations or Just Another Scandal?

Argentina might soon enforce stricter rules on crypto endorsements by officials and demand more transparency in blockchain transactions. It might also start collaborating with foreign exchanges to help trace illegal funds and stop money laundering. As crypto evolves, such a scandal highlights the risks of speculation and political involvement in digital assets. Whether it sparks lasting reforms or fades into another unresolved case depends on the results of the Argentinan crypto investigation.