Argentine president Javier Milei retweeted a post seemingly promoting the LIBRA token, sparking fresh speculation about his involvement with it.

When we thought the LIBRA token saga was slowly dying down, President Milei has raised eyebrows again. Yesterday, he retweeted a post guiding users on how to buy the highly controversial token.

His tweet again impacted the price of LIBRA, which pumped 60% following the alleged fresh endorsement. Milei’s actions further complicate his role in the project, as he once stated he would stop promoting the token.

Intended Course or Just Coincidence?

The Monday tweet comes after Milei’s earlier stance that he had no relationship with the LIBRA scam. Notably, Hayden Davis, an integral member of the token’s team, had admitted to selling the token’s liquidity pool and realizing over $100 million from the Saturday launch.

Milei’s latest move drew widespread criticism from the crypto community. Some argued that his continued involvement with the token dented his reputation. Others alleged that he was fully aware of and participated in the LIBRA heist.

Nonetheless, speculation has it that he retweeted the post to show that the complex steps in buying LIBRA are tedious for ordinary Argentines. Recall that he argued that the rug pull seldom impacted his compatriots.

As a result, he branded the opposition parties’ political moves unnecessary. Notably, these sentiments remain highly speculative and unconfirmed.

Milei Says Tweet Was in Good Faith

Meanwhile, the Argentine president has insisted he acted in “good faith” with the Saturday tweet. In his first public appearance at Todo Noticias, Milei stated that he acted as a technology enthusiast who intends to encourage innovation in the nation.

Furthermore, Milei argued he did not promote LIBRA but only spread the word about the token. The president maintained he had no affiliation with the token and deleted the tweet following growing criticisms.

Interestingly, Milei stated that the media overblew the extent of the financial damages. He argued that most of the alleged 44,000 users affected were bots, and at most, only 5,000 people lost money on the LIBRA token.

Nonetheless, the president faces impeachment over his alleged involvement with the controversial token. Meanwhile, the KIP Protocol has also denied affiliation with LIBRA, further complicating the saga.

Argentine President Javier Milei is facing legal and political challenges after his involvement in promoting the ill-fated crypto project Libra (LIBRA). 

The controversy began when Milei directed his extensive social media audience to the token, causing its value to surge before a rapid decline led to significant investor losses. 

The incident has sparked lawsuits, an internal government probe, and calls for impeachment.

Milei’s Response to the Libra Incident

Per a Bloomberg report, Milei acknowledged meeting with the creators of the Solana-based Libra token and expressed his intent to support Argentine businesses using crypto.

He stated that his social media post was not meant to persuade users to buy the token but to highlight an initiative aimed at financing local entrepreneurs.

Meanwhile, his endorsement caused the token’s price to multiply fourfold, briefly reaching a total valuation of $4 billion before plummeting.

In his first public defense of the Libra token scandal, Milei denied any malfeasance. He claimed he merely aimed to raise awareness about a tool to finance entrepreneurs.

Nonetheless, Milei admitted he needed to impose stricter filters on those seeking meetings with him. His statement came after the Argentine government launched an internal investigation into the matter. 

Economy Minister Luis Caputo downplayed the incident, calling it an unforced error and stating that Milei had no criminal intent. He also emphasized that the crypto sector is highly specialized and difficult to comprehend.

Political and Market Reactions

The fallout from the controversy extended beyond politics. Argentina’s S&P Merval Index suffered its steepest decline since July, dropping 5.6% on Monday.

Investors in Buenos Aires pulled back from major local companies, signaling broader market concerns. While U.S. bond and equity markets were closed at the time, the government sought to shift focus by highlighting the country’s recent budget surplus.

Notably, legal actions against Milei are mounting. An Argentine judge is handling over 100 lawsuits filed in response to the incident. Law firms, including Moyano & Asociados, have lodged complaints with the U.S. Securities and Exchange Commission.

Meanwhile, Hayden Davis, CEO of Kelsier Ventures, which helped launch Libra, stated that Milei may not have been fully aware of the situation.

Opposition leaders have intensified impeachment efforts, but securing a two-thirds majority in Congress remains unlikely. Meanwhile, Milei is preparing to visit Washington in pursuit of financial assistance and tariff exemptions from the U.S. government.

Libra Surge Amid Renewed Promotion

Despite the controversy, Milei reposted a tutorial on how to buy Libra on February 17, contradicting his earlier decision to remove the content. His action led to a 60% surge in the token’s value. 

Argentine President Javier Millei reposted the LIBRA token purchase tutorial on the social platform X. Although Millei had previously stated that he would no longer spread the LIBRA message and deleted the tweet. The opposition is pursuing an impeachment effort against Millei.… pic.twitter.com/kEqEgVSctH

— Wu Blockchain (@WuBlockchain) February 17, 2025

At the time of reporting, Libra was trading at $0.3514, reflecting a 12.95% increase in the past 24 hours.