Argentine Congress backs inquiry into Milei crypto scandal

Argentine President Javier Milei's engagement successful the cryptocurrency $LIBRA volition look a legislature inquiry. Photo: Luis ROBAYO / AFP/File
Source: AFP

Argentina's Congress connected Tuesday backed the instauration of a committee of enquiry into a cryptocurrency promoted by President Javier Milei that soared past crashed, losing investors hundreds of millions of dollars.

The libertarian president hailed the $LIBRA meme coin arsenic a "private project" aimed astatine "stimulating the maturation of the Argentine economy, by financing tiny businesses and Argentine entrepreneurs."

"The satellite wants to put successful Argentina. $LIBRA," helium wrote connected the societal web X connected February 14, successful a station helium deleted hours aboriginal aft the currency crashed.

Industry experts person called the cognition a "rug pull" -- a scam wherever developers unveil a crypto token, pull investors, past rapidly currency out.

$LIBRA went from roar to bust each successful the abstraction of a day.

After Milei's evident thumbs-up, it soared successful worth but past plummeted 90 percent wrong 2 hours.

Milei aboriginal claimed helium "did not cognize the details of the project."

On Tuesday, the little location voted by 128 members successful favour to 93 against and 7 abstentions to motorboat an enquiry into the currency, which moved much than $4.5 cardinal and caused investors to suffer astir $250 million.

MPs besides approved a solution to summon Economy Minister Luis Caputo and Justice Minister Mariano Cuneo Libarona, among different elder officials, to attest implicit the affair.

A justice has been tasked with investigating Milei's transportation to $LIBRA amid allegations that helium was complicit successful fraud, consorted with criminals oregon was successful breach of his duties.

Source: AFP