Jupiter Exchange claims no involvement in LIBRA scandal

On February 17th, Jupiter Exchange says several members of the group who knew in advance about the plan to launch the LIBRA project were related to Argentine President Javier Milei. This information was received from Kelsier Ventures about two weeks before LIBRA was officially launched.

At first, the Jupiter team was skeptical, but then again appeared public posts from the personal account of the President of Argentina, confirming that he was promoting the token.

However, Jupiter insists that's all they know. They are not involved or have any contact with any interested parties. In addition, no one on the Jupiter team received LIBRA or any remuneration associated with this token.

Jupiter also denies allegations that it knew ahead of time, contract addresses other important information about LIBRA. According to the statement, only Ben from Meteora knew the contract address in advance minutes before the token launch to carry out the verification process. But this person did not share the information with the Jupiter team until it became public.

Regarding the listing of LIBRA on its Strict List and verified labeling on its platform, Jupiter explained that this is a measure to protect investors from counterfeit tokens.

According to them, after the launch of LIBRA, dozens of fake tokens appeared, posing a risk to users. The Jupiter team stressed that the Strict List is not a confirmed or guaranteed project for the value of any token, but simply a way to ensure traders buy the right tokens.

In response to the allegations of insider trading, Jupiter stated that it conducted an internal investigation and found no evidence of insider trading by members of the team.

As MarginATM reported, the collapse of LIBRA dealt a blow to investors' confidence. According to this, the project's eight internal wallets withdrew $107 million in liquidity, causing the market capitalization to drop $4 billion in just a few hours.

While there is no direct evidence to incriminate Jupiter Exchange members, on-chain transactions show that the LIBRA crash was caused by an internal wallet withdrawing funds from the token just 3h after the token launch, causing the price to drop 94%.

Jupiter admitted LIBRA was a major shock to the market, causing heavy losses to investors as well as the memento ecosystem. Jupiter is researching and coming up with solutions to improve the foundation, avoiding similar negative incidents in the future.

In the first two months of 2025, the crypto market saw the appearance of 6 memencoins associated with famous personalities, including TRUMP, MELANIA, TST, CAR, LIBRA and BROCCOLI. What these tokens have in common is that they are promoted by the president, politicians, or leading KOLs in the crypto sector, creating a strong wave of FOMO before losing much of their value.

The emergence and rapid collapse of these memencoins raises the question of whether these are really natural market price rises, or the result of manipulation schemes orchestrated to create a FOMO effect, pushing up prices before a sell-off. When values collapsed, celebrities who had contributed to the FOMO wave chose to remain silent or publicly deny responsibility, leaving retail investors with heavy losses.