Key Highlights:
- An Argentine federal judge has officially dismissed criminal fraud allegations against President Javier Milei regarding his promotion of the failed memecoin LIBRA.
- The ruling completely clears 11 individuals, including the president’s sister and Secretary General Karina Milei, alongside U.S. adviser Hayden Davis and KIP Protocol CEO Julian Peh.
- Judge Marcelo Martínez de Giorgi determined there was no evidence of intentional deceit, illicit financial gain, or kickbacks paid to government officials.
Argentine Federal Court Dismisses LIBRA Memecoin Fraud Case
An Argentine federal judge has dismissed the criminal case against President Javier Milei regarding his endorsement of LIBRA, a memecoin cryptocurrency project that suffered a sharp collapse shortly after its debut in February 2025. The judicial decision brings an end to fraud scrutiny surrounding the head of state’s public social media backing of the speculative digital asset.
Federal Judge Marcelo Martínez de Giorgi extended the dismissal beyond President Javier Milei, officially clearing a total of 11 individuals linked to the matter. Among those cleared of wrongdoing is the president’s sister, Karina Milei, who serves as the presidency’s secretary general. Reuters reported that U.S. businessman Hayden Davis, who characterized himself as an adviser to the token’s launch, was also covered by the judicial dismissal. According to Argentine news outlet Infobae, the list of cleared individuals also includes lobbyist Mauricio Novelli and KIP Protocol CEO Julian Peh. None of the 11 individuals had been formally questioned prior to the dismissal.
Judicial Findings on Endorsements and Financial Conduct
In his evaluation of the criminal complaint, Judge Marcelo Martínez de Giorgi acknowledged that Milei’s endorsement could have given the launch greater impact,
but determined that his social media post and LIBRA’s subsequent collapse were insufficient to establish fraud without evidence of a specific deception, according to details drawn from court records.
The court further scrutinized allegations regarding potential conflicts of interest and illicit financial flows connecting the crypto venture to the executive branch. Citing court documents, Argentine fact-checking outlet Chequeado reported that the judge found no evidence that Karina Milei sought or received money in exchange for access to the president, nor was there any indication that proceeds from the LIBRA venture reached public officials.
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Why This Matters
The swift dismissal resolves a politically sensitive legal challenge for President Javier Milei, an outspoken libertarian whose digital communications and views on non-state currency frequently draw international attention. The ruling clarifies the boundary under Argentine law between high-profile social media promotions and prosecutable criminal fraud, setting a precedent that an endorsement amplifying market impact does not, on its own, constitute intentional financial fraud when market values plummet.
Frequently Asked Questions
Who was cleared in the LIBRA memecoin legal ruling?
Judge Marcelo Martínez de Giorgi cleared a total of 11 people, including Argentine President Javier Milei, his sister and Secretary General Karina Milei, U.S. adviser Hayden Davis, lobbyist Mauricio Novelli, and KIP Protocol CEO Julian Peh.
Why did the judge decide to dismiss the fraud charges?
The judge concluded that while President Milei’s backing likely amplified the project’s profile, a social media endorsement followed by a price collapse does not constitute criminal fraud without concrete proof of intentional deception. Additionally, investigators found no evidence that illicit funds or proceeds flowed to public officials.
