A new cryptocurrency, $LIBRA, has ignited a heated debate in the corridors of Crypto Town. Recently Argentina’s President Javier Milei allegedly promoted a new cryptocurrency which turned out to be a scam. On Friday night, Milei promoted $LIBRA through his X account and stated that it would boost the economy and support local enterprises. This promotion gave a sudden push to the LIBRA token price.

The $LIBRA token touched a high of $5.00  and then it crashed about 90% reached under $1 price, and lost over $4.4 BILLION from the market due to its legitimacy concerns.

Later on, President Milei deleted the X post and clarified that he was not associated with the project. In the X he said, “A few hours ago I posted a tweet, as I have so many other times, supporting a supposed private enterprise with which I obviously have no connection whatsoever. I was not aware of the details of the project and after having become aware of it I decided not to continue spreading the word (that is why I deleted the tweet).”

However, till then the damage was already done. The Libra token scam sparked outrage on the internet. In response, President Milei ordered a probe into the $LIBRA token launch.

On 16 Feb, The Office of the President reported that the initial promotion of the coin was a regular business endorsement aimed at creating jobs, getting investments, and economic welfare. The project was not officially associated with the President. 

The statement highlights that the president has decided to immediately engage the Anti-Corruption Office (OA) to investigate whether any member of the Government, including the President himself involved in the LIBRA’s scam and its launch.

Moreover, the report mentioned that the President of the Nation has decided to create an Investigation Task Unit (UTI) which will work under the direct supervision of the President. The team will consist of various members who have authority over areas like cryptocurrencies, financial transactions, and money laundering.

This task force aims to investigate the launch of the $LIBRA cryptocurrency and investigate all the companies or individuals connected to it including the KIP protocol.

KIP protocol debunked the allegations and declaimed his involvement in the cryptocurrency launch. The company claims that the release and creation of LIBRA cryptocurrency were entirely managed by Kelsier Ventures and its initiator, Hayden Davis.

Also Read: Argentina Prez $LIBRA Crypto Token Row: Who Won and Who Lost?