In brief
A federal judge has dropped the criminal investigation into Argentine President Javier Milei and his sister Karina over their alleged ties to the $Libra cryptocurrency crash. The judge ruled that the alleged events do not constitute a legal offence and that no criminal deception was proven. The case, which emerged after Milei’s brief promotion of the token on X, was halted at prosecutors’ request. The decision clears the president of legal culpability, though broader political fallout remains as lawmakers debate impeachment and future crypto regulation.
A federal judge in Argentina has dismissed the criminal investigation that had linked President Javier Milei and his sister Karina to the collapse of the crypto‑token $Libra.
Judge Marcelo Martinez de Giorgi cleared the duo of any legal wrongdoing after prosecutors asked the case be dropped. He said the events in question do not fit a legal category and that evidence of criminal deception could not be established.
The controversy began when Milei posted on X (formerly Twitter) about the newly launched $Libra in February 2025. The token’s price spiked after the president’s endorsement, only to tumble once he removed the post. The rapid rise and fall caused heavy losses for many investors.
Opposition lawmakers used the incident to push impeachment proceedings, accusing Milei of a “rug pull” – a scheme where promoters lure buyers before abandoning the project. Milei, however, insisted he merely shared information and later withdrew the post upon learning more about the token.
The president’s office stated that Milei was not involved in the development of $Libra and declared it would investigate whether any improper conduct occurred. Milei defended the deletion by citing lack of knowledge about the project’s details.
While the legal case is closed, questions over crypto regulation and the political ramifications for Milei’s administration remain in focus.
