Argentine President Javier Milei Shuts Down Unit Investigating Crash

The Investigation Task Unit (UTI), created to look into the possible irregularities surrounding the cryptocurrency Libra, has been dissolved by Argentine President Javier Milei.

According to him, the group fulfilled it purpose and will therefore not be needed anymore.

Libra Coin Investigation Unit Has Fulfilled the Assigned Task

According to the measure published on May 20 in the Official Gazette of the Nation,

“The Government considers that the information collected was forwarded to the Public Prosecutor’s Office and that the Unit has fulfilled the task assigned by Decree No. 114/25.”

Markedly, this document was signed by the President and Mariano Cúneo Libarona, the Minister of Justice.

This statement and action from the head of state have raised suspicion among many, including the Argentine and international justice systems.

These entities are beginning to advance various investigations into the role of the president and his sister Karina Milei, who doubles as the Secretary General of the Presidency.

There are suspected connections between them and some possible crypto-based fraudulent schemes.

Recently, Judge María Servini mandated the bank secrecy bond on Javier Milei and his sister to be lifted.

The law enforcement official believes this step is necessary to review their transactions related to the LIBRA case.

The same request for information was extended to Mauricio Novelli, Sergio Morales, and Manuel Terrones Godoy.

These three individuals are close to President Milei and share a connection with Hayden Davis, the head of Kelsier Ventures, the firm behind LIBRA. Later, their assets were frozen as part of the investigative process.

The Creation of the Libra Investigation Task Unit

The UTI was created in February 2025 after Libra fell in what was perceived as a rug pull. The unfortunate event caused about 74,000 investors to lose their capital.

It is worth noting that President Milei consistently rooted for the LIBRA token on his social media pages. This led investors to build confidence in its prospects.

He later publicly withdrew his support and opened an investigation into the crypto after its price plunged 94%.

The Investigation Unit was led by María Florencia Zicavo, the Chief of Staff at the Ministry of Justice and a close associate of Mariano Cúneo Libarona, the Minister of Justice.

The bloc’s sole aim was to determine whether there were “irregularities or acts of corruption” surrounding Libra’s promotion.

As the head of the unit, Zicavo wielded the power to determine operational and complementary regulations.

She also had the authority to request information from national and international entities, which would not require additional budgetary disbursements.

Crypto Scams in the Broader Market

Rug pulls are not a strange occurrence in the crypto space. More recently, scammers have begun employing more sophisticated tactics to cheat investors out of their funds.

zkSync, a notable Ethereum Layer 2 project, experienced a breach involving one of its admin accounts in April.

The protocol confirmed that a hacker had accessed one of its administrative keys. It allowed the attacker to take control of about $5 million worth of ZK tokens.

Similarly, Bybit was also attacked three months ago. The perpetrator made away with a total of $1.4 billion in Ethereum.