Argentine President Javier Milei is facing mounting criticism after publicly endorsing a cryptocurrency that experienced a dramatic loss in value, prompting calls for his impeachment from opposition leaders.
On Friday evening, Milei promoted the $LIBRA token, a little-known cryptocurrency, in a post on X (formerly Twitter). The token’s price surged to nearly $5 shortly after his endorsement but quickly plummeted to under $1 within hours. This sharp decline has raised concerns of a potential “rug pull” – a type of scam where developers artificially inflate a token’s price only to sell off their holdings for a profit, leaving investors with worthless assets.
Leandro Santoro, a prominent opposition lawmaker, condemned the situation as a “national embarrassment” and argued that it merited impeachment proceedings against the president. The Argentine Fintech Chamber also expressed alarm, suggesting that the incident could be part of a larger scam.
In response, Milei quickly deleted his post and attempted to distance himself from the controversial token, claiming that he was unaware of the project’s details at the time of his endorsement. He also stated that he stopped promoting the token once he realized the situation was escalating. However, the swift collapse of $LIBRA has left many questioning Milei’s judgment, particularly in light of Argentina’s ongoing economic struggles.
Critics are now asking why the country’s president, in the midst of a national economic crisis, would so casually support an unproven and volatile cryptocurrency.
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