Argentina Axes Libra Probe in Bold Move—Crypto Regulators Left Scratching Heads

Argentina’s president just pulled the plug on the high-profile Libra investigation—no explanations, no apologies. Was it regulatory fatigue, political pressure, or just another Tuesday in LatAm crypto chaos?

Sources whisper about backroom deals with Silicon Valley, while Bitcoin maxis cheer the ’anti-establishment’ flex. Meanwhile, traditional bankers are too busy shorting the peso to care.

One thing’s clear: When governments play hot potato with crypto oversight, someone’s holding the bag. Spoiler: It’s never the guys in suits.

Argentina’s President Javier Milei Shuts Down Unit Investigating Crypto Scandal

The cryptocurrency market experienced a notable scandal this year with the rapid rise and fall of the Libra cryptocurrency. The project was promoted by Argentina’s President Javier Milei, sparking a price surge before plummeting in value shortly after. The situation costs as much as $250 million in losses for investors.

The president, who took office in 2023, has remained at the center of the controversy. Yet, it has now taken an even more concerning turn. According to an official decree, Argentina’s president has shut down the unit tasked with investigating the Libra crypto scandal.

The UTI collective is no more after a decision was signed by both Milei and Justice Minister Mariano Cuneo Libarona. Moreover, the decree states that the agency “has fulfilled the functions assigned to it.” Subsequently, the official decision has now ended all internal investigations of the government into the matter.

The unit was created after growing complaints from investors affected by the seeming rug pull scam. Indeed, it was created with the intention of gathering documents from public and international bodies, responding to court requests, and flagging any attempts to manipulate evidence.”

Argentine Congress also created a special investigative committee in response to the scandal. Comprising 28 different lawmakers, the committee has yet to initiate any proceedings, with Justice Minister and Economy Minister Luis Caputo refusing to appear at a court-ordered summons on May 14th.