Argentine government will close Libra investigation forces in just three months

According to Bloomberg, the Argentine anti-corruption office has cleared the fraudulent practices related to the public promotion of Libra crypto tokens.

The agency reportedly said that Javier was reportedly recorded not breaking the law when he posted about Libra on X in February. The ruling officially concludes the government’s internal investigation, but the federal court case is still ongoing and has not yet been closed.

The scandal began when Javier shared a message about Libra just hours after meeting the founder of the token. His posts instantly boosted the visibility of the token.

On the same day, Libra prices skyrocketed, and the wallet holding a large number of coins was thrown away. The sudden crash has resulted in huge losses for retail investors.

Many accused the government of supporting pump and dump fraud, pointing directly to Javier and his inner circle. However, Javier defended himself at the time by saying, “I wasn’t trying to sell anything. I just wanted to promote a project that supported Argentinean companies.”

Government will close Libra Investigation Forces in just three months

The Libra fallout forced the Argentine government to quickly form a special task force called the Research Task Force (UTI) to review cryptographic dramas.

The unit was created by executive order and was signed by both Javier and Minister of Justice Mariano Kune Olivarona. The job was to investigate how Libra was promoted, who benefited from it, and whether there was an irregularity in whether the law was broken.

The UTI had the authority to request documents from public and international organizations, respond to court requests, and report attempts to conceal evidence.

However, three months after its creation, the UTI was dismantled. The formal order, signed again by Javier and Mariano, stated that the unit “fulfilled the functions assigned to it”, but no further explanation was given.

The move shut down internal investigations of the administrative department. UTI did not publish its findings before it was closed. The decision came after public outrage erupted, especially from crypto investors who believed the tokens were government-supported. Some assumed that Libra was Argentina’s new official crypto project. Instead, they remained with a bag of worthless tokens.

A report later revealed that most Libra’s supply is only a few wallets. These wallets were emptied shortly after Javier’s post, causing crashes and locked up Argentina daily in losses.

Retail investors filed a complaint with local regulators. They demanded answers on whether someone in the government had prior knowledge and made money while the masses were being destroyed.

The Libra controversy also reached the Argentine parliament. In April, lawmakers formed a 28-person special investigation committee to further investigate the case, but no formal proceedings have begun.

Despite being summoned to appear on May 14th, neither Mariano Kune Olivarona nor Economy Minister Luis Capto appeared. Their absence has attracted criticism from opposition politicians and investors who say the government is eschewing responsibility.