Prosecutor Opposes Reopening $Libra Cryptocurrency Fraud Case
Federal prosecutor Eduardo Taiano rejects efforts to revive investigation involving President Javier Milei.
1Prosecutor Rejects Reopening Case
Federal prosecutor Eduardo Taiano has formally opposed reopening the $Libra cryptocurrency investigation. He rejected a request from the Procuraduría de Investigaciones Administrativas (PIA) to take over the case and continue proceedings. Taiano maintains that the initial dismissal of the charges remains valid, effectively blocking further state-led inquiry into the matter.
2Conflict Over Investigative Scope
The PIA, led by Sergio Rodríguez, had appealed the closure, arguing that the decision was premature. They cited pending key evidence, including forensic analysis of mobile devices and international legal requests. Despite these claims, Taiano insists that no legal basis exists to reverse the previous rulings or delegate the investigation further.
3Judicial Decision Pending
The final decision now rests with federal judge Marcelo Martínez De Giorgi, who has resumed control of the court following a temporary substitution. While the prosecutor's opinion is not binding, it carries significant weight in the judicial process. The court must now determine if the case warrants a formal reopening or remains closed.
4Investors Seek Legal Standing
Parallel to the prosecutor's stance, the Federal Chamber of Criminal Cassation is reviewing a separate appeal. Investors who suffered financial losses are fighting to be recognized as plaintiffs in the case. If the tribunal grants them this status, they could independently push for a full review of the case's definitive archiving.
5Presidential Defense Under Scrutiny
President Javier Milei has consistently claimed his promotion of $Libra was a good-faith act regarding a public project. However, new technical police reports challenge this narrative. Evidence indicates the asset was not listed on any centralized exchange when the President posted about it on X, contradicting the government's official defensive line.
6Technical Evidence Contradicts Narrative
Forensic analysis suggests the presidential tweet acted as the primary catalyst for the financial operation. Records involving lobbyist Mauricio Novelli and token creator Hayden Davis indicate contact with the presidential circle. These findings undermine claims that the promotion was merely an innocent share of an already established and accessible digital asset.
7The Pump and Dump Scheme
The $Libra scandal involved a rapid surge and subsequent collapse of a cryptocurrency promoted by high-level officials. Thousands of retail investors suffered losses after buying the token, believing in the implicit endorsement of the President. Experts categorize this event as a classic pump and dump scheme designed to manipulate market prices.
8Institutional and Political Tensions
The case has become a major point of institutional friction in Argentina. It highlights the intersection of digital asset volatility and political accountability. As the judiciary weighs the evidence, the outcome will determine whether the state can effectively prosecute potential fraud involving high-ranking officials or if the case remains permanently shelved.
Original article: Perfil — Prosecutor Opposes Reopening $Libra Cryptocurrency Fraud Case