Argentina Closes Crypto Fraud Probe Into President Milei Over $Libra Collapse

A criminal investigation into President Javier Milei and his sister Karina Milei over the $Libra cryptocurrency scandal has been closed. Federal judge Marcelo Martinez de Giorgi dismissed the case after prosecutors asked for it, according to court records. In his ruling, the judge said the reported events do not fall under a recognized legal category and that no criminally relevant deception had been proven. Milei had not responded to the decision at the time of reporting.

What Happened With the $Libra Crypto Token

The controversy goes back to February 2025, when Milei posted on X about the newly launched $Libra coin, saying it would help fund small businesses and start ups. The token’s price jumped after he shared a link to buy it, but within hours he deleted the post and the coin crashed, wiping out most of what investors had put in. Critics online called it a rug pull, a scheme where promoters attract buyers and then disappear with the money raised.

Milei’s Defense and the Political Fallout

Milei has always denied promoting the coin, telling Todo Noticias that he only shared it. He said he acted in good faith, did not know the project’s details, and stopped backing it once he learned more. He also argued that people who bought $Libra did so voluntarily and understood the risks. His office said he had no role in building the token and that the Anti Corruption Office would examine whether he acted improperly. The affair pushed opposition lawmakers to prepare impeachment proceedings.