The controversy traces back to an enthusiastic Valentine's Day tweet from President Milei announcing the launch of $Libra, created just minutes prior. In a frenzy of excitement, many investors flocked to purchase the digital coin, causing its value to rapidly escalate. However, this initial spike was short-lived, as the digital currency came crashing down when major investors sold their shares for substantial profits, leaving ordinary buyers with significant losses.

To seasoned cryptocurrency followers, this incident resembled a typical “rug-pull,” where initial hype leads to substantial gains for insiders, while average investors suffer. The fallout from this event has triggered a national uproar, prompting calls for President Milei’s impeachment from opposition leaders alongside a wave of criminal complaints filed by Argentine citizens.

In light of the growing turmoil, a federal prosecutor has launched an investigation with President Milei as a person of interest. In a stark turn of events, Milei addressed an audience at the Conservative Political Action Conference in Washington shortly thereafter, paralleling his experience with former President Trump, who similarly endorsed a cryptocurrency, $Trump, which saw a similar trajectory.

The scandal has raised critical questions about accountability and transparency in cryptocurrency investments, putting President Milei under scrutiny as the nation seeks answers.