Chiara Bianchi
Argentine federal prosecutor Eduardo Taiano is actively working to freeze assets linked to the Libra memecoin scandal, which has gained widespread attention due to its alleged ties to President Javier Milei, according to local reports.
The probe focuses on the Solana-based Libra token, which Milei publicly endorsed last month on social media. Following his promotion, the tokenโs fully diluted market cap skyrocketed beyond $2 billion before experiencing a steep collapse, shedding over 90% of its value. As of now, its FDV stands at approximately $100 million, based on data from DexScreener.
According to Argentine media outlet Clarรญn, Taiano has formally requested the freezing of more than $110 million in proceeds from Libraโs launch.
Additionally, the prosecutor is seeking to recover deleted social media posts, including Mileiโs initial endorsement of the token, along with phone records and visitor logs from the presidential residence and office.
The scandal has triggered political turmoil in Argentina, with opposition leaders demanding Mileiโs impeachment. However, his supporters insist that the president had no direct involvement in the tokenโs creation.
Mileiโs Social Media Promotion and Subsequent Deletion
On February 14, Milei shared a post on X (formerly Twitter) promoting the Libra project, claiming it would support small businesses and startups to stimulate Argentinaโs economy.
His post included a direct link to the tokenโs official website and its contract address on Solana. However, Milei later deleted the post and distanced himself from the project, stating he had limited knowledge of the token.
Hayden Davis and His Alleged Role in the Scandal
Hayden Davis, CEO of Kelsier Ventures, has emerged as a key figure in the Libra controversy, reportedly playing a central role in securing Mileiโs endorsement of the token.
In a February video posted on X, Davis claimed he had advised Milei and worked closely with his team. A photo of Milei with Davis was previously posted on Mileiโs X account in January, but it has since been removed.
During an interview with YouTube investigator Coffeezilla (Stephen Findeisen), Davis admitted to controlling all funds from the Libra collapse, amounting to over $110 million. He acknowledged holding $100 million in stablecoins from the tokenโs launch and an additional $13 million in liquidity pool (LP) fees, bringing the total to approximately $113 million.
As the investigation continues, the case is expected to intensify, with authorities looking to trace funds and determine any potential legal violations.
