Key Takeaways
- The OA concluded that Milei was acting in a personal capacity and not as president when he made the post.
- The OA emphasized that no public resources were used in the LIBRA token incident
Argentine President Javier Milei did not breach any presidential duties when promoting the LIBRA memecoin, according to a resolution from the country’s Anti-Corruption Office (OA) issued on June 5.
The controversy began when Milei promoted the LIBRA crypto on his personal X account on February 14, framing it as a tool to support small businesses and startups in Argentina. The token skyrocketed to a $4 billion market cap but crashed by 94% within hours, causing widespread losses and sparking political uproar. Local media dubbed the scandal “Cryptogate,” and opposition leaders called for Milei’s impeachment. Lawsuits were filed by lawyers representing investors who reportedly lost $251 million.
Following the backlash, Milei deleted the post and requested the OA to investigate whether he or any member of the government had acted improperly. “Determine whether there was improper conduct on the part of any member of the National Government, including the President himself,” Milei’s office stated at the time.
The OA concluded that Milei was acting in a personal capacity and not as president when he made the post, meaning he did not violate federal ethics laws.
The OA emphasized that no public resources were used in the LIBRA token incident, and Milei was exercising his civil and political rights under Argentina’s constitution. Despite the clarification, the president continues to face criticism from opposition parties and scrutiny from legal authorities.
According to the office, Milei’s X account has been active since 2015 and is primarily used for political and personal expression.
“Although the account sometimes references public policies or decisions from his administration, it does so in a non-institutional manner, functioning as a platform for political and personal expression,” the Anti-Corruption Office stated in its resolution. “These characteristics of the personal account on the social network X are typical of any citizen who publicly expresses their political ideas,” it added.
Milei has repeatedly denied any wrongdoing, stating that he didn’t promote LIBRA but merely “spread the word” about it. On May 19, he signed a decree to dismantle a government task force created to investigate the scandal. No formal action has been taken against Milei or any other Argentine official in relation to the case.
Meanwhile, U.S. authorities have taken steps against individuals tied to the project. Two wallets linked to Hayden Davis, identified as a key figure behind LIBRA, were recently frozen by Circle under a court order from the U.S. District Court in the Southern District of New York. The wallets held a combined $57.6 million in USDC. A federal criminal court in Argentina is still investigating Milei’s involvement in the affair.
