Scam Or Not: LIBRA Just Tanked After Four Days Of Peaking Post Argentina President’s Promotion

LIBRA tokens saw major price fluctuations between February 18th and 14th, which incurred losses totaling $251 million, while some secured a total profit of $180 million. As a result, analysts flocked to understand what happened, and a recent report released by Nansen Research highlighted massive financial consequences due to such fluctuations.  

On February 14th, Argentina’s President Javier Milei took to his social handles to endorse Libra via his social media handle. This sent shockwaves in the industry as investors rushed in to get the token. This resulted in the token to soar at $4.55. However, this surge was short-lived. By 18th February, around 70% of the wallets holding Libra have incurred losses due to price volatility. 

Losses & Frustration 

This sudden and volatile price movement has wiped out most of the profits people noticed in the time frame. As a result, people are angry and calling it a scam. An X user expressed frustration by saying, “The biggest scam in crypto history just happened. Over $5 Billion lost in a matter of hours. It involved some of the biggest names in crypto and the PRESIDENT of Argentina.” 

The user further added, “It all started when the current president of Argentina Javier Milei @JMilei published a tweet endorsing a meme coin called LIBRA with a CA.  It’s goal is to help the “growth of the Argentina economy” and “funding small businesses” Therefore, accusing Javier Milein openly of scamming investors. Post the backlash, Milei deleted his post promoting Libra claiming that he was in the dark about the project’s details. 

It all started when the current president of Argentina Javier Milei @JMilei published a tweet endorsing a meme coin called LIBRA with a CA. It's goal is to help the "growth of the Argentina economy" and "funding small businesses" pic.twitter.com/FEPuxk8Zpp

— Mark Gadala-Maria (@markgadala) February 17, 2025

While most people suffered heavy losses due to price volatility, some traders recorded substantial profits. Two wallets that got in on the Libra action managed to record profits. One of the wallets sold all of its Libra holdings within just 45 minutes of acquiring it, and a total profit of $5.4 million was recorded. Another wallet followed a similar technique and recorded a profit of $5.1 million.  

As per data released by Nansen, Milei’s post sent people into a speculative frenzy. This frenzy fueled the massive acquisition drive. However, the break in the trend came when the token’s creator, Hayden Davis, dismissed the coin by openly calling it a meme coin. This made people wary of the coin, and the bull market turned into a bear market and resulted in massive losses.