Argentina's President faces impeachment calls over crypto crash

Argentine President Javier Milei is under fire, facing calls for impeachment and legal accusations of fraud following his promotion of a cryptocurrency on social media, BBC reported.

On Friday, Milei posted a message on X (formerly Twitter), endorsing the $LIBRA coin as a tool to help fund small businesses and startups, sharing a link to purchase the cryptocurrency. 

The price surged after his endorsement, but within hours, the post was deleted, and the cryptocurrency’s value plummeted, leading to significant losses for investors.

This sudden crash has sparked outrage, with some opposition members of Congress calling for impeachment proceedings against the president. Lawyers filed criminal fraud complaints against Milei in Argentina's courts on Sunday. 

Online critics have accused Milei of orchestrating a "rug pull," a deceptive practice where promoters artificially inflate the value of a cryptocurrency before abandoning it, leaving investors with worthless assets. 

They also pointed to the link he shared, which referenced a phrase commonly used in his speeches.

In response, Argentina’s presidential office explained that the post was deleted to prevent further speculation after public backlash. 

The office emphasised that Milei was not involved in the cryptocurrency's creation and that an investigation would be launched by the Anti-Corruption Office to examine potential misconduct. 

However, plaintiffs in the case, including Jonatan Baldiviezo, argue that Milei’s actions played a critical role in the alleged fraud.

Milei's political opponents, including former President Cristina Fernández de Kirchner, have seized on the controversy, with Kirchner calling him a "crypto scammer" in a widely shared post. 

The main opposition coalition has announced plans to file impeachment requests, calling the situation an "unprecedented scandal."