Hayden Davis Labels LIBRA Memecoin Amid Legal Scrutiny and Milei Meeting

Crypto entrepreneur Hayden Davis has formally characterized the $LIBRA token as a memecoin in court filings, distancing it from claims of investment viability. The Southern District of New York is reviewing allegations of crypto fraud tied to the token's volatile price action, with $280 million in frozen assets awaiting a decision by August 19.

The project, heavily promoted through Argentine President Javier Milei's social channels, attracted significant capital before its abrupt collapse. Davis's legal team now contends $LIBRA lacked substantive tokenomics or business fundamentals—a stark reversal from earlier assertions it WOULD fund Argentine small businesses.

Investor Omar Hurlock's lawsuit alleges orchestrated market manipulation, spotlighting the regulatory gray area surrounding memecoins. The case underscores growing scrutiny of speculative crypto assets with tenuous utility claims.