An Argentine federal judge has dismissed a criminal investigation into President Javier Milei’s promotion of LIBRA, a Solana-based memecoin that surged after his public endorsement in February 2025 before losing more than 95% of its value.
The ruling also cleared Milei’s sister, Karina Milei, who serves as the presidency’s secretary general, and U.S. businessman Hayden Davis, who described himself as an adviser to LIBRA’s launch. In total, 11 people were cleared, including lobbyist Mauricio Novelli and KIP Protocol chief executive Julian Peh. None of those covered by the case had been formally questioned, according to the source material.
Why the judge dismissed the case
Judge Marcelo Martínez de Giorgi concluded that the president’s support for LIBRA, although it may have given the token greater visibility and impact, did not by itself establish fraud. The court found that the social-media post and the subsequent collapse of the token were not enough to prove that investors had been deliberately deceived without evidence of a specific fraudulent act.
The ruling also found no evidence that Karina Milei had requested or received money in exchange for access to the president. Nor did investigators find evidence that funds generated by the token reached public officials.
According to CoinDesk, Milei promoted LIBRA on X on Feb. 14, 2025, describing it as a project intended to help finance small businesses in Argentina. The token, which operated on the Solana blockchain, rose rapidly after the endorsement. It later lost more than 90% of its value, with the source material describing an eventual decline of more than 95% from a peak of about $5.
Blockchain researchers identified eight wallets linked to LIBRA’s creator that withdrew approximately $99 million in cryptocurrency. Davis said he retained close to $100 million after the crash but denied wrongdoing.
Allegations and political fallout
The collapse destroyed more than $250 million in investor wealth, according to the source material. Milei later deleted his post and denied having ties to the project. He said he had acted in good faith and withdrew his support after learning more about LIBRA.
The investigation was also connected to allegations concerning access to the president’s inner circle. CoinDesk reported in February 2025 that it had obtained messages in which Davis claimed he had bought access to Milei’s circle, sent money to Karina Milei and could influence the president’s decisions. Davis later denied making payments to either Milei or his sister.
The president’s office said the judge had accepted a prosecutor’s request to dismiss the case because the conduct under review did not amount to a crime. It described the investigation as an effort to damage Milei’s reputation ahead of Argentina’s 2025 midterm elections.
The decision does not necessarily end every legal avenue available to the investors involved. Prosecutor Eduardo Taiano, who sought dismissal, is not expected to appeal. Investors who had joined the case as plaintiffs were removed in July, and an appeals court upheld that decision in September.
Those investors have challenged their removal before Argentina’s Federal Criminal Cassation Court. If they are reinstated as plaintiffs, they could seek to appeal the dismissal. The legal outcome therefore remains subject to that separate challenge, even though the criminal probe against the people named in the ruling has been dismissed at this stage.
Current crypto market picture
Moneyiar market data at approximately Oct. 25, 2026, 22:38-22:39 (+03:30) showed mixed performance among the tracked assets:
- Mina (MINA) was priced at $0.0635592481, down 2.32% over 24 hours and 11.12% over seven days.
- Notcoin (NOT) stood at $0.000370248, down 1.43% over 24 hours and 0.63% over seven days.
- Espresso (ESP) traded at $0.0856958115, up 0.5% in 24 hours and 1.41% over seven days.
- Prom (PROM) was priced at $5.5186887726, up 2.73% over 24 hours and 17.27% over seven days.
The LIBRA case highlights the legal distinction between a controversial or unsuccessful token launch and conduct that can be proven as criminal fraud. The judge’s decision addresses the evidence in this specific case; it does not change the losses suffered by LIBRA investors or resolve the separate challenge being pursued by former plaintiffs.
