Argentina’s President Javier Milei Denies Endorsing LIBRA Memecoin
Argentina’s President Javier Milei has recently come under fire for his alleged involvement in the controversial LIBRA memecoin project, which resulted in significant losses for investors. However, Milei has vehemently denied endorsing the token, claiming that he only shared information about it in good faith.
Misunderstanding or Misrepresentation?
In a recent interview on Feb. 17, Milei clarified his stance on the matter, stating that he did not actively promote the token but merely shared details about it. He expressed his disappointment at the negative fallout from his involvement and emphasized that he had no malicious intent.
“I didn’t promote it, I shared it…I acted in good faith and took a hit.”
The Rise and Fall of LIBRA
The LIBRA token, which is built on the Solana blockchain, experienced a meteoric rise to a $4.56 billion market cap following Milei’s social media endorsement. However, the token’s value plummeted by 95% within hours of Milei distancing himself from the project, leading to allegations of insider trading and price manipulation.
Milei explained that he was initially drawn to the project as a potential source of funding for tech entrepreneurs facing financial challenges. He clarified that his intention was to inform his audience about the initiative rather than actively endorse it.
“Any initiative that improves financing for tech entrepreneurs interests me. I made no mistakes because I acted in good faith.”
Implications for Investors and Politics
Despite the significant financial losses incurred by investors, Milei stressed that the Argentine government had no involvement in the LIBRA project. He asserted that only a small number of local investors were affected, with the majority of participants being from China and the United States.
Milei defended the investors who participated in LIBRA, describing them as experienced volatility traders who understood the risks involved. He emphasized that the situation should be viewed as a private matter among consenting individuals engaging in speculative trading.
“These are highly specialized individuals in this type of financial instrument. Those who got involved knew the risks very well—they are volatility traders. This is a private matter between individuals, and they participated voluntarily.”
Navigating Political Fallout
Despite Milei’s efforts to clarify his position, the controversy surrounding the LIBRA project has sparked political turmoil, leading to calls for his impeachment. Critics have accused him of damaging investor confidence and tarnishing Argentina’s financial reputation.
Milei acknowledged the need to reassess his public interactions in light of the incident, recognizing that his actions as a public figure carry greater weight and consequences.
“When I look at the political repercussions, I realize I have something to learn. I need to understand that after becoming president, I continued acting like the same Javier Milei as before. Unfortunately, this situation shows me that I need to raise my filters and not make myself so accessible.”
