Mon Feb 17 21:19:10 UTC 2025: ## Argentine President Faces Impeachment Calls After Cryptocurrency Crash
**BUENOS AIRES** – Argentine President Javier Milei is facing calls for impeachment after endorsing a little-known cryptocurrency, $Libra, that quickly soared in value before crashing, resulting in significant financial losses for investors. The incident has sparked a political firestorm and drawn comparisons to similar cryptocurrency controversies involving other world leaders.
On Friday, Milei promoted $Libra on X (formerly Twitter), claiming the project aimed to boost the Argentine economy. His endorsement caused the token’s price to skyrocket from near zero to almost $5 before plummeting to less than $1. This rapid rise and fall has led many to accuse the project of being a “rug pull,” a type of cryptocurrency scam where the value is artificially inflated before insiders sell their holdings, leaving investors with worthless tokens.
The Argentine fintech chamber and several economists have voiced concerns about the possibility of fraud or a Ponzi scheme. President Milei subsequently deleted his endorsement post, claiming he was unaware of the project’s details. However, this explanation has done little to quell the controversy.
Lawyers have filed fraud complaints against Milei, alleging his involvement in a “mega-scam.” Opposition lawmakers have formally called for his impeachment, citing the international embarrassment caused by the incident. Criticism has also come from former President Cristina Fernández de Kirchner and Mexican President Claudia Sheinbaum, who highlighted the severity of a president using their position to promote a private cryptocurrency.
Milei has blamed his political opponents, accusing them of exploiting the situation. His office insists he was uninvolved in the cryptocurrency’s development and launched an internal investigation. However, political analysts warn that the incident could severely damage his credibility and hinder his efforts to attract foreign investment, particularly ahead of midterm elections.
The incident underscores the growing popularity of cryptocurrencies in Argentina, where citizens seek alternatives to a struggling traditional banking system. The scandal also mirrors the recent controversy surrounding the launch of the $Trump memecoin, highlighting the risks associated with high-profile endorsements of volatile digital assets. The fallout from the $Libra crash continues to unfold, with the potential for significant political ramifications for President Milei.
First Piper 