Argentina’s Anti-Corruption Office has cleared President Javier Milei in the Libra crypto controversy, saying he didn’t break any public ethics rules. The investigation looked into a post-Milei made back in February on his personal X account, where he promoted the Libra ($LIBRA) token.
At first, the token soared in value, but it later crashed hard, causing outrage and financial losses for many investors.
The OA concluded that Milei was acting in a personal capacity and that his post did not involve any public resources or reflect official government policy.
“In short, [Milei’s promotional post], which is not connected to administrative acts, has no allocation of public resources or institutional support, should be interpreted as an act of individual or private communication that has not generated any official public policy direction of any kind,” the report noted. With that, the OA determined that there was no misuse of office or unethical conduct on Milei’s part.
The controversy began when Milei publicly endorsed the Libra cryptocurrency, describing it as a way to empower small businesses and startups in Argentina. The Libra token shot up fast, reaching a market cap of over $2 billion, but it didn’t last long. Within days, it crashed by more than 90%, leaving many everyday investors with heavy losses.
After the collapse, Milei quietly deleted his original post about the token, but by then, the damage was done. Local media quickly labeled the whole episode “Cryptogate,” and opposition leaders started calling for his impeachment. Angry investors also began filing lawsuits, saying they were misled by the promotion.
Feeling the heat, Milei himself called on the Anti-Corruption Office to investigate whether he, or anyone in his government, had done anything wrong. While the OA’s report may bring a close to the administrative probe, the political fallout hasn’t entirely faded.
The case drew further scrutiny in May when a federal judge requested access to Milei’s bank records, along with those of his sister, who reportedly had some level of communication with Hayden Davis, one of the creators of the Libra token.
Not long after, Milei’s government quietly dissolved the investigation unit handling the case, stating that its work had been completed and handed over to the public prosecutor.
Meanwhile, legal troubles surrounding the case are still very much alive. A federal criminal investigation remains open, and a separate class action lawsuit involving plaintiffs from Argentina, the United States, and the United Kingdom is moving through the courts.
In a major development, Circle, the issuer of the USDC stablecoin, recently froze two wallets linked to Davis, which held over $58 million. This action followed a court order from the U.S. District Court in the Southern District of New York.
According to the OA’s report, Davis first met Milei on January 30, but officials stressed that Davis “had and has no ties to the Argentine government” and was introduced to Milei by representatives of KIP Protocol, who were partners in the Libra project.
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