Court ends Milei crypto probe

The conclusion of a high-profile legal dispute marks a significant shift in the governance landscape for Argentina's working families and investors who felt the sting of recent market volatility. On Thursday, October 23, federal judge Marcelo Martinez de Giorgi officially dismissed the criminal investigation into President Javier Milei and his sister Karina Milei regarding the cryptocurrency scandal that dominated national discourse earlier this year.

The dismissal follows a request from prosecutors who sought to close the case after a thorough review. In his written ruling, the judge stated that the reported events do not fall under a specific legal category of crime. He concluded that no criminally relevant deception had been proven by the evidence presented during the inquiry, thereby clearing the two siblings of formal criminal liability in this matter.

The investigation centered on $Libra, a newly launched cryptocoin that experienced a dramatic rise and fall in value shortly after the president mentioned it in a social media post in February 2025. Milei had written on the platform X, formerly known as Twitter, that the coin would help fund small businesses and start-ups. He also shared a direct link to buy the asset, which caused the price to climb sharply in the immediate aftermath.

However, the momentum reversed within hours. The president deleted the post, and the coin's value subsequently plunged. Most individuals who had invested in the token lost the bulk of their money during this rapid downturn. This sequence of events triggered a strong political reaction, with opposition members of Congress planning impeachment proceedings. Online critics frequently accused the president of a rug pull, a scheme where promoters draw in buyers for a cryptocurrency and then halt trading to keep the money raised from sales.

President Milei has consistently rejected these accusations throughout the legal process. In an interview with the media outlet Todo Noticias, he clarified his role by stating that he did not promote the coin, but merely shared it. He maintained that he acted in good faith while the coin was rising in value. He defended his decision to delete the post by explaining that he did not know the details of the project and decided not to continue promoting it after learning more about its structure.

In a separate television interview, the president argued that people who put money into $Libra had done so voluntarily and understood the inherent risks of the market. The presidential office further stated that Milei had no involvement in the development of the token. It also announced at the time that the Anti-Corruption Office would examine whether the president had acted improperly, adding another layer of scrutiny to the episode.

The case highlights the growing intersection of digital finance and political influence, a trend that affects how ordinary citizens navigate investment opportunities endorsed by public figures. For many working families who viewed the cryptocurrency market as a potential avenue for wealth creation, the collapse of $Libra represented a significant financial setback. The legal dismissal may signal a precedent for how future political endorsements of digital assets are evaluated in the courts.

As the legal chapter closes, attention turns to the political fallout and the broader implications for market confidence. The opposition is expected to continue pressing for accountability through legislative channels, while supporters view the dismissal as a vindication of the president's actions. The next steps will likely involve further parliamentary debates and potential legislative reforms aimed at clarifying the rules for political figures who engage with cryptocurrency markets.

At the time of the original report, Milei had not responded to the news of the dismissal. The ruling is expected to be met with mixed reactions from both sides of the political spectrum, with legal experts analyzing the judge's reasoning for its potential impact on future cases involving digital assets and public officials.