The president of Argentina is facing legal action and calls for his impeachment after he promoted a cryptocurrency on social media. Javier Milei's controversial post "caused a political firestorm," said The New York Times, with opponents describing him as a "crypto scammer."
Last Friday, Milei posted on X about the $LIBRA coin, which he promised would help fund small businesses and startups. He shared a link to buy it, causing its price to "shoot up," said the BBC. But within a few hours, he deleted the post and the cryptocurrency "nosedived" in value, meaning investors lost most of their money.
Critics accused Milei of a "rug pull," in which promoters of a cryptocurrency deliberately "draw in buyers" only to stop trading activity and "make off with the money raised from sales," the BBC said.
"Few Argentines" were financially affected by the currency's crash, because most $LIBRA buyers appear to have been in the U.S. and Asia, said the Financial Times. But episode has still caused a headache for Milei. His opponents "appear unlikely" to secure the two-thirds majority needed in Argentina's Congress to impeach him, but analysts suggested that investigations of the president could "nonetheless weigh on his approval ratings."
The "most interesting lesson" of the scandal, Milei said in a televised interview, is that "I need to put up more filters" so that it "can't be so easy for people to reach me." The president, who's "reported to spend hours a day on X," said The Spectator, might be "forced to become a little quieter." |