Political tensions rise in Argentina as opposition leaders demand Milei’s impeachment over his involvement in a crypto scandal that led to accusations of fraud.
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| President Milei is under fire after promoting the LIBRA crypto token, which collapsed in value, prompting claims of a scam and impeachment threats. File Image Courtesy: RT/ ChicHue |
Buenos Aires, Argentina — Feb 16, 2025:
Argentina’s President Javier Milei is facing calls for impeachment following his controversial endorsement of a cryptocurrency, the LIBRA token, which led to accusations of misconduct and possible fraud.
On Friday, Milei promoted the LIBRA crypto on X (formerly Twitter), causing its value to skyrocket to nearly $5. However, within hours, the price plummeted to under $1. The president quickly deleted his post and distanced himself from the project, claiming he was unaware of the details.
Opposition lawmakers, including prominent critic Leandro Santoro, have accused Milei of abusing public trust, calling for his impeachment. Santoro, speaking to Reuters, stated, “This scandal, which embarrasses us on an international scale, requires us to launch an impeachment request against the president.”
Concerns over the token’s legitimacy have been raised, with Argentina’s fintech chamber warning of a potential "rug pull," a scam where developers inflate a token's value before selling off their holdings.
Milei explained that he had met with KIP Protocol, the company behind the token, months ago as part of his efforts to attract investment and stabilize Argentina’s economy. The company, however, denied involvement in the token’s launch, attributing the market activity to KelsierVentures and stating they did not profit from it.
Milei, who assumed office in December 2023, has faced significant political and economic challenges, including aggressive economic reforms aimed at tackling Argentina’s economic crisis. While he has achieved some milestones, such as a zero budget deficit, the fallout from the LIBRA scandal has added to the growing pressure on his presidency.