Argentine Judge Drops Crypto Fraud Case Against President Milei
The dismissal ends a criminal probe into the $Libra token after prosecutors argued no legal violation occurred.
By Harper Laurent ·
President Javier Milei and his sister Karina Milei are no longer under criminal investigation for a cryptocurrency scandal. Federal Judge Marcelo Martinez de Giorgi dismissed the case on Thursday, following a request from prosecutors to close the file. The judge ruled that the events surrounding the token did not fit a specific legal category and found no proof of criminally relevant deception.
The controversy began in February 2025 with the launch of $Libra, a new cryptocoin. Milei posted on X, formerly Twitter, that the coin would help fund small businesses and start-ups. He included a direct link to purchase the asset. The price of $Libra climbed sharply immediately after the post went live. However, within a few hours, Milei deleted the post. The coin's value then plunged, causing most investors to lose the bulk of their money.
The episode triggered political backlash. Opposition members of Congress planned impeachment proceedings against the president. Online critics accused Milei of a rug pull, a scheme where promoters attract buyers for a cryptocurrency and then halt trading to keep the sales revenue. Milei has consistently rejected these accusations. In an interview with Todo Noticias, he stated, "I didn't promote it, I merely shared it." He claimed he acted in good faith while the coin's value was rising.
Milei defended his decision to delete the social media post. He said he did not know the details of the project and decided to stop promoting it after learning more. In a separate television interview, he argued that investors had put money into $Libra voluntarily and understood the risks involved. The presidential office stated that Milei had no involvement in the development of the token. It also announced that the Anti-Corruption Office would examine whether the president had acted improperly during the incident.
The dismissal of the criminal case marks a formal end to that specific legal track. The ruling does not address the political impeachment efforts that were planned by opposition lawmakers. The judge's decision relies on the finding that no legally defined fraud was proven. Milei had not responded to the news of the dismissal at the time of the original report.
