Libra Token Exposed, Allegations Against Argentine President Javier Milei

A key figure behind the Libra token allegedly influenced Argentine President Javier Milei’s inner circle through payments to his sister, Karina Milei.

The allegations emerged in text messages reviewed by CoinDesk and add a new dimension to the ongoing anti-corruption investigation into the controversial memecoin.

Hayden Davis, CEO of Kelsier Ventures, allegedly bragged about his dominance over Milei in text messages sent in mid-December. “She’s under my control,” Davis wrote, adding, “I send her sister dollars and she signs and does whatever I ask.”

Karina Milei, a powerful figure in her brother’s government, did not respond to requests for comment, and Davis did not respond to multiple inquiries. It remains unclear whether any financial transactions took place between Davis and Milei’s inner circle ahead of Libra’s launch.

Davis’ allegations come amid an anti-corruption investigation into President Milei, who touted Libra as a potential tool to finance small businesses in Argentina on Feb. 15. However, the Solana-based memecoin’s debut turned into a disaster, with wallets linked to Davis and Kelsier Ventures reportedly making more than $100 million in profits before the token plunged more than 95%.

The scandal, dubbed “Criptogate” by local media, has triggered political turmoil, with opposition leaders threatening to call for Milei’s ouster. The controversy has also affected Argentina’s stock market and pushed the president into damage control mode, according to analysts who track the country’s cryptocurrency landscape.

Text messages from Davis suggest he believed he could get Milei to support projects on social media. Indeed, Milei’s Twitter promotion of Libra helped fuel its meteoric rise, but by the time he deleted the post just five hours after suspicious transactions were revealed, the token had already crashed, leaving investors with huge losses.

*This is not investment advice.