Key Points:
- Argentina’s President Javier Milei faces impeachment threats after promoting a crypto token intended for small businesses, which subsequently failed dramatically.
- According to a lawmaker, the situation is an embarrassment for the country on an international level.
Argentina’s President Javier Milei is facing impeachment threats after endorsing a cryptocurrency called LIBRA, supposedly meant to assist small businesses but instead lost billions in value almost immediately, as reported by Reuters.
In a now-deleted post on X, Milei promoted LIBRA as a privately-managed initiative designed to fund small and medium-sized businesses in Argentina, insisting he wouldn’t personally benefit from it.
The token saw its market cap swell to approximately $4.5 billion amid uncertainty surrounding the authenticity of Milei’s tweet, with theories suggesting his account could have been compromised.
Five hours later, Milei deleted the post, claiming he was “not aware of the project’s details” and has since opted not to endorse it further.
The market reacted swiftly, with insiders liquidating $87.4 million worth of tokens, leading to a 90% drop in the token’s market capitalization, equating to over $4 billion in losses.
Leandro Santoro, an opposition lawmaker, remarked, “This scandal, which embarrasses us on an international scale, necessitates an impeachment request against the president.”
