Judge drops Milei crypto fraud case

Federal Judge Marcelo Martinez de Giorgi has dismissed the criminal case against Argentine President Javier Milei and his sister, Karina Milei, regarding a cryptocurrency controversy. The decision comes after prosecutors requested the closure of the investigation. The judge ruled that the events in question did not fit into a specific legal category and that no criminally relevant deception had been proven.

The dispute centered on $Libra, a digital token that launched in early 2025. In February of that year, President Milei posted on X, the platform formerly known as Twitter, that the coin would help finance small businesses and startups. He included a direct link for followers to purchase the asset. The stock price rose sharply following the announcement.

The momentum reversed quickly. Milei deleted the social media post within hours of publishing it. The value of $Libra then dropped steeply. Most investors who bought the token after the post lost a large portion of their capital. The sudden collapse triggered backlash from opposition lawmakers in Congress, who began planning impeachment proceedings.

Critics online described the sequence of events as a rug pull, a strategy where promoters attract buyers and then stop trading to keep the raised funds. Milei has denied these claims throughout the process. In an interview with the outlet Todo Noticias, he stated, "I didn't promote it, I merely shared it." He added that he acted in good faith while the coin's value was increasing.

The president explained the decision to remove the post by noting he did not know the specific details of the project. He said he decided to stop promoting the asset after learning more about it. During a television appearance, Milei argued that participants invested voluntarily and understood the inherent risks of the market. The presidential office maintained that Milei had no role in developing the token.

At the time of the incident, the government announced that the Anti-Corruption Office would review whether the president had acted improperly. The judicial process moved forward for nearly two years before the judge issued his final ruling. Court records confirm the case is now closed. Milei had not issued a public response to the dismissal at the time of the initial report.