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LIBRA drops 96% after Argentine president deletes shill post

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The Argentine president suddenly assumed that he had nothing to do with the memento and that this was just a collaboration. Is this a pump and dump from a head of state?

After the markets reacted furiously, Argentine President Javier Milei unexpectedly deleted the post about the LIBRA memento and officially spoke out. Argentina's president insists he has no connection to the token.

According to Milei, he was merely supporting a private enterprise, as he had many times before, without knowing the details of the project. After a closer look, he decided to stop promoting and remove the article.

However, instead of elaborating further on why a president would promote a memenoin without first checking, Milei attacked political opponents head-on, calling them “dirty rats” who were taking advantage of the incident to smear him.

He claims this only increases the determination to remove opportunists from the political system.

Shortly after the Libra memento post was removed, the token's value continued to plunge, dropping by 60%, from $600 million to $200 million in market capitalization. Since its launch at 5:00 a.m. on Feb. 15, LIBRA has lost more than 96.6% of its value, dropping more than 30 times in just six hours.

Earlier, Argentine President Javier Milei caused a shock when he posted an article on X about the LIBRA token, claiming it was a private project aimed at boosting Argentina's economy while providing capital to small businesses in the country.

 
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Memecoin LIBRA drops sharply from the top. Source: Dexscreener.

The writedown quickly sent LIBRA soaring to $5 billion in capitalization, before collapsing to $636 million in just hours after on-chain analysis from BubbleMaps showed signs of liquidity drawdowns and insider trading.

The matter still has no clear answer. LIBRA continues to be the focus of controversy as some believe it is impossible for a rug pull project to directly inject more than $150 million in liquidity, suggesting that there must be a large financial institution or even the government behind it.

Meanwhile, on-chain data still shows that LIBRA has around $145 million in liquidity, but if the team continues to withdraw funds according to the previous pattern, this amount could soon disappear.

So far, the Argentine government has not made any official statements about LIBRA, while the community still questions whether this is really a government-related project?