LIBRA Token Scandal: $251 Million Lost, $99 Million Withdrawn

The LIBRA token, initially endorsed by Argentine President Javier Milei, has led to significant financial losses for investors, with over 13,000 traders suffering losses totaling $251 million. Shortly after Milei's social media endorsement on February 14, 2025, the token's price spiked to over $4.50 before plummeting due to large holders selling off their assets. Blockchain analytics firms reported that 86% of traders incurred losses, while a few wallets made substantial profits shortly after the token's launch, raising suspicions of insider trading. Additionally, eight wallets linked to the token's creator withdrew approximately $99 million from its liquidity pool, prompting a federal investigation into Milei's involvement. Despite the backlash, Milei has denied any wrongdoing and suggested political opponents are exploiting the situation. The LIBRA episode underscores the risks associated with speculative cryptocurrencies, especially those influenced by endorsements from public figures.