$Libra Investigation: Judge Drops Fraud Case Against Milei

Federal Judge Marcelo Martinez de Giorgi dismissed the criminal investigation into Argentine President Javier Milei and his sister Karina Milei on October 23. The judge concluded that the events surrounding the $Libra cryptocurrency did not fit a specific legal category for fraud and found no evidence of criminally relevant deception. The dismissal followed a request by prosecutors to close the case.

The legal scrutiny began in February 2025. Milei posted on X, formerly Twitter, that the newly launched coin would help fund small businesses and start-ups. He included a direct link to purchase the asset. The coin's price rose sharply following the announcement. Within hours, Milei deleted the post. The value of $Libra then plunged, causing most investors to lose the bulk of their capital.

The price crash triggered political backlash. Opposition members of Congress planned impeachment proceedings against the president. Critics online described the sequence of events as a rug pull, a scheme where promoters attract buyers and then halt trading to retain the raised funds. The presidential office stated that Milei had no involvement in the development of the coin. It also announced that the Anti-Corruption Office would examine whether the president acted improperly.

Milei has rejected the accusations of fraud. In an interview with Todo Noticias, he said, "I didn't promote it, I merely shared it." He stated that he acted in good faith while the coin's value was rising. He explained that he deleted the post because he did not know the details of the project and decided not to continue promoting it after learning more. In a television interview, he argued that investors put money into $Libra voluntarily and understood the risks involved.

The case against Milei and his sister is now closed. The judge's ruling stands as the final legal step in the investigation into the February 2025 crypto crash. Milei had not responded to the news of the dismissal at the time of the report.