It all started last Friday. The Argentine president published a message in his ‘X’ account promoting a token (card or digital currency) of cryptocurrencies in the assured that $ Libra (the currency in question) would help “encourage the growth of the Argentine economy.”
“Liberal Argentina grows !!! This private project will be dedicated to encourage the growth of the Argentine economy, anchoring small Argentine businesses and ventures. The world wants to invest in Argentina. $ LIBRA,” Milei published, together with a project of the project in which promotes the token.
Minutes after the publication, The value of the cryptocurrency went from 0 to more than 4,000 million dollars. When ‘Libra’ reached that figure, the drivers of the cryptocurrency -diez people related to the Argentine president- left the project and withdrew the nearly 90 million invested. At that time, the value of the Token began to fall reaching 900 million and then fall to zero euros.
The collapse of the value of the cryptocurrency promoted by Milei caused that the 44,000 people who had invested in the project lost all their money.
Milei does not ask forgiveness: “I did not promote it, I just spread it”
Far from assuming some responsibility for the promotion of the crypto-this, Milei published a new message on social networks disconnected from the project and making it clear that he had nothing to do with what happened. But their explanations have not convinced users who invested in the cryptocurrency and, after the collapse, have published videos accusing the Argentine president of “ruin them”even some have assured that they will not vote again.
In an interview with the Argentine television network Todonoticias, the president of Argentina has tried to unmarked ensuring that “I did not promote it, I only disseminated it” and remarking that those who “participated” did it “voluntarily.” “If you go to the casino and lose money, I say, what is the claim?”he has questioned.
In this regard, he added that “for wanting to help an Argentine” he ate “a slap.” “It is a problem among private because the State does not play any role, That it is clear, “said the tenant of the Casa Rosada when addressing this matter for the first time from the controversial publication that kept four hours before the virtual currency collapsed.
How the crypto-this is affects the image of Milei
The Argentine journalist and communication expert, Adriana Amado, explained in the ‘Public Mirror’ program as the involvement of Milei in the scam of cryptocurrencies can affect the reputation of the Argentine President.
According to the expert, Milei “has stuck a tite on the foot” with the publication of that message, since “Credibility subtracts you where you have your strength: in the virtual world and among the influencers that promoted him worldwide. “
The Argentine leader has always discredited to the media and has defended that his mobile and his Twitter account (now x) are his best weapon.
The journalist has also analyzed Where lies Milei’s success among popular classes.
“The success of Milei’s communicative model or Trump is They are responsible for they have no money, “Amado says. “However, we are seeing that this is not supported in the long term and It is not a power project, it is a populist projectvery effective at first but that fails to maintain long -term credibility, “he concludes.
What are the ‘Meme Coins’
According to experts, the cryptocurrency ‘$ Libra’, promoted by the Argentine president, belongs to the universe of the digital assets designed to generate money to your creator using the image of a public figure and the credulity of its followers. Given the lack of regulation, it has more similarities with a Ponzi scheme than with a legitimate financial asset.
The so -called ‘MEME COINS’ or ‘Garbage Coins’ lack a real economic support and only seek to capitalize on the public’s enthusiasm around a phenomenon. Something that happened with Milei, who advertised cryptocurrency as a “private entrepreneurship” and then eliminated him from his social networks by scam suspicions.
The founder of the Argentine Bitcoin NGO 50,000 pseudo existing cryptocurrencieswhich can be created in five minutes and whose developers allocate units for sale to their discretion under the “inflate and throw” system (‘pump & dump’).
“Almost 100 % of these currencies work on the basis that there is a very large market of investors trying to buy at a launch price and selling when it increases, but since they do not have a real utility, they die,” said the founder of the NGO dedicated to promoting the use and sustainable development of the crypto ecosystem.
In the few hours that Milei’s publications lasted over $ Libra on their social networks, the demand shot, Its price went from 0.3 cents to $ 5.54 and moved millions in transactions before collapsing. Its current value is 0.0006 cents.
A financial report by the American firm Kobbeissi Letter revealed that when the currency was constituted, the initial investors of the “entrepreneurship” began withdrawing money with profits of 87.4 million dollars and “in five hours, more than 4.4 billion capitalization were erased market “.
This type maneuver is called ‘carpet pull ‘(‘ rug pull ‘) And it is one of the most common fraud in the crypt world. “They basically gave them a CBU (uniform banking key) to deposit silver,” summarizes Efe Ciro Edgardo Romero, computer researcher specialized in new technologies.
“If it were well done, a cryptocurrency project works like any other currency. Serious projects have a visible manifesto (Whitepaper ‘) that explains its operation, its economic and technical support. This provides transparency and confidence by being backed by technology Block chain (blockchaing), “he defends.
