The LIBRA meme coin, supported by Argentina’s President Javier Milei, has plunged nearly 15% in value, coinciding with allegations of fraud against Hayden Davis, a key figure behind the coin. Legal actions initiated by lawyer Gregorio Dalbón have contributed to negative market sentiment and declining trust among traders. The overall cryptocurrency market is also experiencing significant losses.
The LIBRA meme coin, endorsed by Argentina’s President Javier Milei, has experienced a sharp decline, losing nearly 15% of its value, now priced at $0.06125. A significant factor contributing to this downturn is a request by Argentine lawyer Gregorio Dalbón for an Interpol Red Notice for Hayden Davis, a key figure in the coin’s creation. The allegation suggests that Davis may have engaged in fraudulent activities, leveraging connections with high-ranking officials, including President Milei.
On Thursday, LIBRA saw a notable drop, marking a staggering 92% decrease since its peak value. The situation surrounding the meme coin has generated negative sentiment among traders, exacerbated by ongoing investigations into Milei’s administration in relation to the asset’s rapid devaluation. Dalbón’s request for an Interpol Red Notice aims to prompt global law enforcement to apprehend Davis, who has been deemed a flight risk due to his residence in the United States.
The controversy surrounding LIBRA and its principal, Hayden Davis, seems to be fueling trader uncertainties, leading to a further decline in the currency’s value. Analysts note a broader trend of waning market enthusiasm, as evidenced by a significant drop in crypto trading volumes overall. In parallel, the total market capitalization for cryptocurrencies has seen a hefty loss of $1.01 trillion since January this year, signaling concerns about the market’s sustainability without a revival in trading activity.
In summary, the LIBRA meme coin’s severe price crash can be attributed to allegations of fraudulent practices by Hayden Davis, with legal actions initiated by Gregorio Dalbón. This has instigated a negative reaction, affecting trader confidence amidst broader market downturns. The combined impact of internal investigations and declining trading volumes indicates a troubling landscape for new and existing investors in cryptocurrency assets.
Original Source: www.fxstreet.com
