Argentina's Federal Judge Marcelo Martínez de Giorgi has dismissed all criminal charges against President Javier Milei, his sister Karina Milei, and other individuals linked to the controversial LIBRA memecoin, concluding that available evidence did not establish fraud.
The memecoin launched on February 14, 2025, and quickly became the subject of investigation after Milei promoted it on social media. The token surged to a $4.6 billion market capitalization before collapsing by 96% within seven hours, wiping out over $4 billion in value. Reports indicated that insiders withdrew millions of dollars and that certain wallets accessed approximately $100 million while more than 40,000 investors suffered losses.
Judge's Reasoning
In his ruling, Judge Giorgi determined that Milei's promotion of the token on his personal X account did not constitute the specific deception needed to prove fraud. The judge noted that financial losses and unequal profit distribution alone were insufficient to establish criminal liability.
The judge also rejected allegations of abuse of authority, stating that investigators had not established official government involvement in the project. Regarding claims that Karina Milei was compensated for facilitating meetings with the president, the judge found that unsigned documentation was inadmissible as evidence.
Charges against American businessman Hayden Mark Davis and other individuals connected to the project were similarly dismissed.
Criticism of the Decision
The dismissal has drawn criticism. Pedro Biscay, Executive Director of the Center for Research and Prevention of Economic Crime, characterized the decision as premature, arguing that the president's role in promoting the cryptocurrency warranted public trial proceedings rather than case dismissal.
