Argentinian judge drops fraud investigation into Milei over crypto scandal

Meanwhile, an Argentinian federal judge has dropped a criminal investigation into President Javier Milei and his sister Karina Milei over the collapse of a cryptocurrency he promoted online.

Key points

• Judge Marcelo Martinez de Giorgi issued the decision on Friday, according to court records, ending an inquiry into Milei's role in the launch of the $Libra token.
• Javier Milei recommended the little-known meme coin in a post on X in February 2025.
• Since taking office in 2023, Milei has laid off thousands of state employees, shut ministries, cut subsidies and reduced government-funded programmes.
• Earlier this month, Milei pressed Trump to emerge stronger from the US midterm elections, saying the vote mattered for the West as a whole.
• Milei notes his plan is working, claiming that Argentina has grown for 27 consecutive months and is expanding at four times its historical rate.

Judge Marcelo Martinez de Giorgi issued the decision on Friday, according to court records, ending an inquiry into Milei's role in the launch of the $Libra token. It crashed after a brief rally.

"The reported events do not constitute a criminal offence, " the judge remarked in a ruling. He additionally wrote that investor losses and the rise and fall in the currency's rate were insufficient to establish fraud.

In his ruling, Martinez de Giorgi remarked that Milei's institutional standing could have given the launch "greater impact" when he posted concerning it, but that does not translate into a fraudulent scheme.

Javier Milei recommended the little-known meme coin in a post on X in February 2025. He afterwards deleted the post and denied any link to the cryptocurrency, whose value shortly plunged.

Notably, the judge additionally dismissed an investigation into US businessman Hayden Davis. This person described himself as a "launch adviser" for the token. Davis has acknowledged that he held close to $100m after the crash and denies any wrongdoing.

"For the first time in history, a President of the Nation was investigated with complete freedom, resulting in absolute proof of his innocence, " read a post shared on X by the official presidential office.

"The question that remains is this: Who will take responsibility for having wasted Argentine taxpayers' money and the President of the Nation's time in a failed attempt at an institutional coup?" Milei's friendship with Trump.

Milei is one of US President Donald Trump's closest allies. Trump firmly backed him a year ago and has called him his "favourite president".

Trump created clear the backing hinged on a victory for Milei's party.

"I'm with this man because his philosophy is correct, " he remarked ahead of a White House lunch with the Argentinian leader last year. "If he wins, we're staying with him. And if he doesn't win, we're gone."

Since taking office in 2023, Milei has laid off thousands of state employees, shut ministries, cut subsidies and reduced government-funded programmes. The measures were meant to fight high inflation. It has fallen to regarding 2 percent a month.

When the coin crashed, Milei remarked he had acted "in good faith" and accused his political rivals of trying to exploit the situation.

In short, argentinian judge drops fraud investigation into Milei over crypto scandal is the central thread here, and readers can expect follow-up reporting as the picture becomes clearer.