Judge drops $Libra fraud case against Milei, clearing him of deception

Federal Judge Marcelo Martinez de Giorgi dismissed the criminal case against Argentine President Javier Milei and his sister Karina Milei on Thursday. The judge acted after prosecutors formally requested that the investigation be closed. In the written ruling, the court stated that the specific events surrounding the cryptocurrency did not fit into a standard legal category for fraud. The judge concluded that the prosecution had not proven any form of criminally relevant deception.

The legal dispute stemmed from the launch and rapid collapse of a cryptocurrency called $Libra. In February 2025, Milei posted on X, formerly known as Twitter, to announce the coin. He wrote that the digital asset would help fund small businesses and start-ups. The post included a direct link for users to purchase the coin. Following the announcement, the price of $Libra rose sharply. Within a few hours, Milei deleted the social media post. The value of the coin then plunged, causing most investors to lose a large portion of their capital.

The market reaction triggered a political response from opposition members of Congress, who began planning impeachment proceedings. Online critics labeled the episode a rug pull. This term describes a scheme where promoters attract buyers for a cryptocurrency and then stop trading to keep the raised funds. Milei has consistently rejected these accusations. In an interview with Todo Noticias, he stated, 'I didn't promote it, I merely shared it.' He maintained that he acted in good faith while the coin's value was increasing.

Milei explained his decision to delete the post by noting that he lacked knowledge of the project's specific details. He said that after learning more, he decided to stop promoting it. During a television interview, he argued that investors had voluntarily put their money into $Libra and understood the associated risks. The presidential office confirmed that Milei had no involvement in the development of the coin. At the time of the initial announcement, the office also said the Anti-Corruption Office would examine whether the president had acted improperly. Milei had not responded to news of the dismissal when the report was filed.