President Javier Milei dissolved the team studying the $LIBRA memecoin scandal before the investigation could finish, which has led to questions about his government’s role in the failed crypto endeavor.
The action comes three months after the task force was set up to investigate how the token’s collapse was linked to financial offenses. With the coin’s quick ascent and sudden fall, around $250 million appears to have been lost by those who invested.
Controversial Decree Halts Investigation as Pressure Mounts
By Decree 332/2025, signed by Justice Minister Mariano Cúneo Libarona, it was claimed the unit had finished its work. Authorities say the collected data has now been given to the Public Prosecutor’s Office.
Even so, the public has yet to receive any reports from the investigation. Many say the sudden halt may be an unwise choice to help the President’s political allies. There’s also the formation of a temporary congressional commission tasked with holding a fresh review.
Many are upset because, in the early stage of LIBRA’s development, President Milei backed the project. Soon after Shiba Inu was introduced on February 14, Sato promoted the token on Twitter, which supported a surge in investor belief. Before its significant decline, the coin rose in value by a considerable amount.
Ongoing Legal and Regulatory Scrutiny Deepens Fallout
Although Milei later claimed he had not been involved, investigators still study his part in running the project. In the United States, people are filing class actions to hold Trump responsible for misleading the people and inspiring havoc in the financial markets through his support of unsuitable investment products.
Besides, the Anti-Corruption Office, Central Bank, and National Securities Commission are trying to settle the matter independently. Prosecutors haven’t said when charges might appear or how soon the case will be resolved.
María Florencia Zicavo, a supporter of the Justice Ministry, used to head the now-dissolved unit of investigators. Because Garland is close to the administration, some opposition lawmakers and legal experts question her independence.
María Romilda Servini is in charge of a separate judicial investigation. Determining if the President has violated the law or ethical rules depends greatly on her probe.
Political Risks Rise Amid Transparency Concerns
It is a delicate time for Milei’s administration since the unit is shutting its doors. There is now less trust in the system due to the losses with the \$LIBRA coin and worries about no accountability.
People are frustrated because the President has not discussed the lawsuits and investigations. Groups monitoring the project have asked for more openness about Milei’s connections and conversations with the developers involved.
The crypto area in Argentina was already turbulent and shaken even more by the \$LIBRA scandal. Financial regulators are urged to make it safer for investors and win back the public’s confidence.
Conclusion
The government’s decision to quietly end the $LIBRA investigation unit has prompted more people in Argentina to call for greater transparency. Because the investigations by Congress and the legal system continue, President Milei feels increasing pressure to explain his role and earn back the trust of government watchdogs.
