KeyTakeaways:
- President Milei orders probe into $LIBRA after price crash and controversy.
- KIP Protocol denies role in $LIBRA launch; Kelsier Ventures manages the token.
- Public scrutiny grows as Milei deletes social media post endorsing $LIBRA.
Argentine President Javier Milei has called for a formal investigation into the $LIBRA cryptocurrency following a price crash and growing controversy surrounding its launch. The inquiry will focus on the possible involvement of government officials and assess whether any wrongdoing occurred in connection with the project’s rollout.
The decision to launch the inquiry was confirmed via an official statement from the Office of the President, released after the token’s price plummeted. The statement revealed that President Milei had instructed Argentina’s Anti-Corruption Office (OA) to investigate whether any government personnel, including Milei himself, had improper connections to the $LIBRA cryptocurrency. The statement stated the President’s commitment to transparency and accountability in handling the matter.
In addition to the OA, Milei has ordered the creation of a dedicated Investigation Task Unit (UTI) within the Presidency. This task force will include government representatives who will oversee crypto regulation, financial activities, and anti-money laundering enforcement.
KIP Protocol Denies Involvement
Following the controversy, KIP Protocol has issued a statement distancing itself from the $LIBRA project. The company clarified that it had no role in the creation or market-making activities of the token.
Instead, Kelsier Ventures, managed by Hayden Mark Davis, has been identified as the organization responsible for overseeing the issuance and management of the cryptocurrency. KIP Protocol emphasized that its involvement was limited to post-launch technology oversight, with no involvement in financial operations or token distribution.
Public Scrutiny and International Attention
The investigation into $LIBRA has attracted attention from both domestic and international figures. Former Binance CEO Changpeng Zhao commented on the risks associated with celebrity-endorsed crypto assets, highlighting the possibility for misleading promotional tactics and fraud. This sentiment comes after Milei’s social media post endorsing $LIBRA, which was deleted to avoid further speculation about the government’s ties to the project.
While the President’s office clarified that Milei’s posts were part of routine engagement with investment opportunities in Argentina, the incident has fueled speculation about the legitimacy of the $LIBRA token.
