Authorities Move to Freeze Assets in LIBRA Scandal, Request Deleted Data

A high-profile investigation into Argentine President Javier Milei’s alleged connection to the LIBRA cryptocurrency scandal has led to a request to freeze up to $110 million in assets.

Prosecutor Eduardo Taiano has also demanded the retrieval of deleted social media posts, particularly those where Milei appeared to endorse the Solana-based memecoin.

Taiano is aiming to trace financial movements linked to LIBRA by obtaining records of all transactions since its launch, focusing on a spike in trade volume around February 14-15. Efforts are underway to freeze certain wallets involved, and international requests are being made to access data from foreign crypto exchanges.

Despite Milei retracting his initial support, data indicates that insiders associated with the LIBRA team cashed out approximately $107 million before the token’s dramatic crash. Additionally, $4.5 million recently moved from one wallet, with some funds believed to be used to purchase another memecoin, POPE, possibly as part of an attempt to launder the assets.

The prosecutor is also seeking phone records, visitor logs from Milei’s offices, and interviews with blockchain specialists who could shed light on the case.

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This comes after Milei faced backlash and impeachment calls for promoting a coin allegedly intended to support small businesses in Argentina, which peaked at a market cap of $4.5 billion before plummeting by over 90%, fueling accusations of a fraudulent scheme.

The scandal, dubbed “Libragate,” has seriously damaged Milei’s public image and hindered his political momentum as he faces key elections later this year.

Alexander Stefanov

With over 8 years of experience in the cryptocurrency and blockchain industry, Alexander is a seasoned content creator and market analyst dedicated to making digital assets more accessible and understandable. He specializes in breaking down complex crypto trends, analyzing market movements, and producing insightful content aimed at educating both newcomers and seasoned investors. Alexander has built a reputation for delivering timely and accurate analysis, while keeping a close eye on regulatory developments, emerging technologies, and macroeconomic trends that shape the future of digital finance. His work is rooted in a passion for innovation and a firm belief that widespread education is key to accelerating global crypto adoption.