Impeachment Looms for Argentine Leader Over Crashed Cryptocurrency

Argentine President Javier Milei may face impeachment following his promotion of a now-devalued cryptocurrency. The digital coin surged to $5 after his endorsement but later crashed below $1, raising suspicions of a 'rug pull' scheme. Milei, however, denies any involvement with the project.

Argentine President Javier Milei could be facing impeachment proceedings after promoting a cryptocurrency that subsequently lost significant value, opposition lawmakers announced on Saturday. The libertarian leader had recommended the use of $LIBRE, a relatively unknown digital coin, which initially surged in value before nosediving, causing speculation and controversy.

Within hours of Milei's endorsement, the cryptocurrency's value plummeted from nearly $5 to under $1. Argentina's fintech chamber acknowledged the potential for a 'rug pull', a tactic where developers inflate a token's value before abruptly withdrawing their investment.

Leandro Santoro, an opposition coalition lawmaker, condemned the incident as an international embarrassment and has called for an impeachment inquiry. Milei, who deleted his initial endorsement post, stated he was unaware of the project's specifics and chose to retract his support upon learning more.

(With inputs from agencies.)