Argentina's emergence into cryptocurrency took a turbulent turn in February 2025 when President Javier Milei's endorsement of LIBRA, a meme coin on the Solana blockchain, led to a catastrophic drop in its value by nearly 90%. Hailed as a tool for funding small businesses, LIBRA's initial rise saw its market cap soar to $4.5 billion before it collapsed, inciting claims of fraud and prompt calls for Milei's impeachment. Following the launch, significant insider trading allegations surfaced, indicating that transactions took place moments before Milei's public tweet. The aftermath saw Argentina's stock market plummeting over 5%, with Milei later retracting his support and claiming ignorance of the project. Accusations were made against various stakeholders, including KIP Protocol and Kelsier Ventures. In May 2025, an investigative task force into the scandal was dissolved, and while an anti-corruption unit cleared Milei of wrongdoing, a federal probe remains active. The LIBRA incident has raised alarm over ethics in cryptocurrency endorsements, echoing past controversies associated with other meme coins.

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