Argentine President Javier Milei faces backlash after promoting cryptocurrency that crashed

Argentine President Javier Milei is under fire after endorsing the cryptocurrency token $LIBRA, which briefly surged in value before plummeting.

According to The New York Times, Milei promoted the token in a social media post on Friday, claiming it would stimulate Argentina’s economy by funding small businesses and attracting investment. His endorsement initially drove up the coin’s value, but fears that $LIBRA was a scam quickly triggered a sharp decline.

Five hours later, Milei deleted his post and attempted to distance himself from the cryptocurrency. In a follow-up statement on X, he admitted he had not been fully informed about the project and decided to stop promoting it after learning more details. On Saturday, the official presidential account framed his endorsement as part of his routine support for new business ventures in Argentina. The government also announced an investigation into whether any officials, including Milei, acted inappropriately and if any laws had been violated.

Milei’s involvement has sparked political outrage. A center-left coalition called the incident an “unprecedented scandal,” while another political group demanded a congressional investigation. Former President Cristina Fernández de Kirchner accused Milei of misleading the public, alleging that many Argentines lost money while some individuals profited through insider knowledge.

Milei’s endorsement also drew comparisons to former U.S. President Donald Trump, who recently launched his own cryptocurrency, $Trump. Critics noted that Milei has aligned himself with Trump’s policies, including Argentina’s withdrawal from the World Health Organization and discussions about exiting the Paris climate accord.

X later flagged $LIBRA with a warning about its resemblance to a potential “rug pull” scam, where developers attract investors and then disappear with their funds. Despite the backlash, Milei dismissed the criticism as politically motivated, insisting his intention was to highlight investment opportunities in Argentina.