An Argentine lawyer has filed for an Interpol Red Notice against Hayden Davis, co-creator of LIBRA, citing his potential flight risk due to financial resources. The token, which saw a rise after endorsement by President Milei, faced a significant crash resulting in heavy investor losses. Davis, asserting his innocence, has retained legal representation and plans to address the ongoing case.
An Argentine lawyer, Gregorio Dalbon, has sought an Interpol Red Notice for Hayden Davis, the LIBRA co-creator. This request was submitted to prosecutor Eduardo Taiano and Judge María Servini, as reported by local media on March 12. An Interpol Red Notice serves as a global alert for law enforcement agencies to locate and provisionally arrest individuals, similar to notices previously issued in high-profile cryptocurrency cases.
Dalbon asserted that Davis played a “central role” in the development and promotion of the LIBRA token, highlighting a “procedural risk” because of his financial resources that could facilitate his evasion. The LIBRA token generated national controversy when Argentine President Javier Milei tweeted about it shortly after its launch, which many believe contributed to its quick surge in value.
However, the token’s price drastically fell soon after its peak, leading to a loss of $4.4 billion in market capitalization and significant financial harm to investors, with blockchain analytics firm Nansen estimating that 86% of LIBRA traders lost money, totaling $251 million. Critics have accused Davis and other insiders of executing a pump-and-dump scheme, as they allegedly sold off holdings at the financial peak while retaining most of the token supply.
Recently, Davis has broken his silence, stating that he has secured legal representation, including the prominent attorney Brian Klein from Waymaker Law. He insists on his innocence, declaring that he “only wanted and sought the success” of the LIBRA token and had no intention of defrauding investors, according to Página 12’s report.
In a parallel investigation, President Milei maintains that he is not at fault; he asserts that he merely “spread the word” about LIBRA, rather than promoting it in a formal capacity. In addition, Taiano plans to freeze approximately $110 million in assets as part of the ongoing investigation into Milei’s alleged involvement in the scandal surrounding LIBRA.
The request for an Interpol Red Notice against Hayden Davis underscores the contentious climate surrounding the LIBRA token. As legal proceedings unfold, both Davis and President Milei deny any wrongdoing, while significant financial losses for investors raise questions about the integrity of the token’s promotion and management. The current developments could influence how cryptocurrency governance and legal accountability are approached in the future.
Original Source: crypto.news
