Argentine President Javier Milei has officially disbanded the Investigative Task Force (UTI) that was set up to probe the controversial LIBRA cryptocurrency scandal. This decision, made via a decree on May 19, has sparked significant backlash amid ongoing allegations of corruption and insider trading linked to the president's endorsement of the now-defunct memecoin.
Key Takeaways
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President Milei dissolved the Investigative Task Force (UTI) on May 19, 2025.
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The task force was created to investigate the LIBRA cryptocurrency scandal, which resulted in significant financial losses for investors.
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Allegations of insider trading and political corruption have emerged, with Milei's credibility suffering as a result.
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A broader criminal investigation will continue under the Public Prosecutor’s Office despite the task force's dissolution.
Background of the LIBRA Scandal
In February 2025, President Milei publicly endorsed LIBRA on his social media, claiming it would provide financial freedom for Argentinians. Following his endorsement, the token's market capitalization skyrocketed to over $4.5 billion. However, this surge was short-lived, as the token's value plummeted by more than 97% within days, leading to massive losses for investors estimated at around $250 million.
The rapid rise and fall of LIBRA raised suspicions of a classic pump-and-dump scheme, with allegations that insiders, including the token's developers, profited significantly before the crash.
The Task Force's Role
The UTI was established shortly after the LIBRA crash to investigate potential fraud and misconduct associated with the token's promotion and collapse. The task force was tasked with:
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Collecting data and documentation related to LIBRA.
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Coordinating with judicial authorities to facilitate a thorough investigation.
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Assessing whether any financial crimes or conflicts of interest occurred involving presidential associates.
Despite its formation, the task force has not released any official findings, and its closure has raised questions about the integrity of the investigation.
Controversial Dissolution
The decree to dissolve the UTI, signed by Milei and Justice Minister Mariano Cúneo Libarona, stated that the task force had fulfilled its objectives and submitted its findings to the Public Prosecutor’s Office. Critics argue that the task force lacked independence, as it was created and operated under the executive branch, leading to concerns that it was merely a political maneuver to mitigate fallout from the scandal.
Opposition lawmakers have expressed outrage, suggesting that the dissolution of the task force was an attempt to evade accountability. They have called for an independent investigation to ensure transparency and justice for the affected investors.
Ongoing Investigations
While the UTI has been disbanded, the investigation into the LIBRA scandal is far from over. A federal judge has ordered the unsealing of bank records related to key individuals involved in the project, including President Milei and his sister, Karina Milei. This judicial inquiry aims to uncover any potential financial misconduct and connections to the LIBRA project.
The political implications of this scandal continue to unfold, with Milei's administration facing increasing scrutiny and pressure from opposition parties. As the investigation transitions to the Public Prosecutor’s Office, the future of the LIBRA case remains uncertain, but the demand for accountability is growing louder among the public and lawmakers alike.
In conclusion, the dissolution of the Investigative Task Force has intensified the scrutiny surrounding President Milei and the LIBRA scandal, raising critical questions about transparency and governance in Argentina's rapidly evolving cryptocurrency landscape.
Sources
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Javier Milei shuts down task force investigating LIBRA scandal, PANews.
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Milei shuts down LIBRA task force probing ties to his administration, CryptoSlate.
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President Milei Shuts Down Task Force Investigating LIBRA Crypto Scandal, Coindoo.
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Argentina's Milei summarily dissolves unit investigating his 250M Libra meltdown, Cryptopolitan.
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Javier Milei shuts down Libra memecoin investigation — but it’s not over yet – DL News, DL News.
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