Argentina’s President Faces Impeachment Threat Over Alleged Memecoin Scandal

Javier Milei, the president of Argentina, is being investigated for allegedly participating in a memecoin pump-and-dump scheme. After he promoted LIBRA, a cryptocurrency that had a sharp increase and then drop in a matter of hours, calls for his impeachment have surfaced.

In a since-deleted article unveiling LIBRA last week, Milei stated that the token’s goal was to “encourage the growth of the Argentine economy.” A Solana (SOL) contract address was also provided by him. In a matter of hours, the token’s market capitalization soared to $4 billion, but investors were left holding the bag as its value quickly fell. Milei disassociated himself from the project following the crash.

Milei Responds to Backlash

Following criticism, Milei explained his position in a statement, clarifying that he had no official ties to LIBRA. He stated in Spanish:

“A few hours ago I posted a tweet, as I have so many other times, supporting a supposed private enterprise with which I obviously have no connection whatsoever.

I was not aware of the details of the project and after having become aware of it I decided not to continue spreading the word (that is why I deleted the tweet).

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To the filthy rats of the political caste who want to take advantage of this situation to do harm, I want to say that every day they confirm how vile politicians are, and they increase our conviction to kick them in the a**.”

Despite his defense, the incident has drawn the attention of Argentina’s fintech chamber, which has suggested Milei may have facilitated a “rug pull.”

The scandal has triggered strong reactions from political opponents. Leandro Santoro, an opposition member, has openly called for an impeachment inquiry. “This scandal, which embarrasses us on an international scale, requires us to launch an impeachment request against the president,” Santoro stated.

The controversy raises concerns about political figures promoting cryptocurrencies without due diligence. As Argentina grapples with economic challenges, the fallout from this incident could further impact the nation’s leadership.