Argentina’s President Javier Milei is facing impeachment calls after endorsing a cryptocurrency, $LIBRA, which crashed soon after its promotion, resulting in substantial investor losses. Analysts suspect a scam, known as a “rug pull,” and over $100 million may have been withdrawn before the collapse. Lawmakers demand an investigation and accountability from Milei during a critical period for Argentina’s economy.
Argentina’s President Javier Milei is currently facing significant backlash after endorsing a cryptocurrency known as $LIBRA, which subsequently experienced a drastic collapse. Following Milei’s social media promotion on February 14, the digital coin saw its value soar to approximately $5,000 per token, translating to a market capitalization of $4.6 billion. However, mere hours later, the coin’s value plummeted to under $1, resulting in substantial financial losses for investors involved.
Crypto analysts have characterized this situation as a potential “rug pull,” wherein creators entice investors before absconding with funds. Reports indicate that nearly $100 million may have been withdrawn by those responsible for the $LIBRA project prior to its value crash. Experts had cautioned that a disproportionate number of accounts held the vast majority of the coin’s supply, heightening the risk of price manipulation.
In light of the controversy, President Milei deleted his initial endorsement post and asserted that he has no affiliations with the cryptocurrency. His legal representative contended that no wrongdoing occurred. Following the backlash, the government revealed that Milei has requested an investigation by Argentina’s Anti-Corruption Office to determine if any officials, including himself, engaged in misconduct.
Several lawmakers have called for President Milei’s impeachment, labeling the incident as an embarrassment for the nation. Opposition leader Cristina Kirchner has accused the President of being complicit in what she describes as a crypto scam. Observers have noted that this is not the first occasion on which Milei has promoted dubious digital currencies, further intensifying scrutiny on his actions.
This crypto controversy arises amidst ongoing efforts by Milei’s administration to address Argentina’s ailing economy. The negative fallout from this incident presents a significant challenge to his leadership and raises questions about the credibility of his economic strategies.
In summary, President Javier Milei faces severe political repercussions due to his promotion of the $LIBRA cryptocurrency, which attracted significant investment only to crash within hours, leading to massive losses. The allegations surrounding a potential scam have prompted calls for investigation and impeachment from various lawmakers. Consequently, the situation complicates Milei’s attempts to stabilize Argentina’s struggling economy amidst growing scrutiny and distrust.
Original Source: globalsouthworld.com
