The President Introduced Meme Coin, Reached 4.5 Billion and Dropped 96 Percent: Here are the Details! - Coin Bulletin

Argentinian President Javier Milei's introduced LIBRA token on social media, rapidly rose and then dropped by 89% turning into a major scandal with insider allegations.

The LIBRA meme token, introduced by Argentine President Javier Milei on social media, experienced a significant collapse shortly after its launch. The token, which rapidly rose after Milei's tweet, lost 96% of its value within a few hours. Following the incident, it was revealed that investors who allegedly profited by leaking insider information made at least $20.18 million in profit.

Milei introduced it a while ago, then stepped back

President Milei introduced the LIBRA token as a project designed to support small businesses. However, he deleted his post just a few hours after sharing the tweet and announced that he decided to stop promoting it because he did not know the details of the project and learned about it later. Milei also strongly criticized those who tried to take political advantage of this situation on social media.

Initially, LIBRA reached a market value of $4.5 billion with strong gains, but as details of the incident emerged, suspicions increased that the project could be a pump-and-dump scheme and a scam. According to Bloomberg, it was reported that Milei met with LIBRA developers in October and had a blog post supporting the project.

(# Allegations of insider information leakage and withdrawal of 87 million dollars

The crypto analysis platform Bubblemaps revealed that the team developing the LIBRA token withdrew USDC and SOL worth $87.4 million from the market. A large portion of the token's initial investors had withdrawn their funds through centralized exchanges )CEX### before Milei's tweet, quickly made purchases after the tweet, and made significant profits by selling at the price peak.

Analyses showed that at least three major investors executed the same transaction, indicating that these individuals may have acted on insider information. It is stated that the average purchase price of the top 100 investors in LIBRA is 1.60 dollars, which is currently 56 percent below this level.

(# Milei's economic reforms and the crypto market

Milei had promised to transition the Argentine economy to a free market model and attract foreign investments during his election campaign. However, the LIBRA scandal raised questions about his economic policies and highlighted Argentina's economic uncertainties. The crypto community emphasizes the need for projects of this nature to be transparently executed and for government officials to act more cautiously in the cryptocurrency markets.

As a result, LIBRA, which quickly rose with Milei's social media post, made history with market manipulation allegations and insider trading scandal. The question of how the Argentine leader's approach to crypto projects will be shaped after this incident remains a subject of curiosity.