Major Withdrawals Raise Questions Over Libra Token
Blockchain researchers have revealed that approximately $99 million worth of cryptocurrency was withdrawn from the marketplace of the controversial Libra Crypto Token. The digital wallets responsible for these transactions were linked to the token’s creator. The coin, which gained sudden attention after a social media post from Argentinian President Javier Milei, soared in value before plummeting within hours. While Milei later denied any connection to the cryptocurrency and deleted his post, a federal judge is now investigating his possible involvement. Milei has accused political opponents of attempting to exploit the situation for their gain.
Suspicious Transactions and Market Manipulation Allegations
Blockchain analytics firm Chainalysis identified that eight wallets, directly connected to $LIBRA’s creator, withdrew the substantial funds from the token’s liquidity pool. These pools function as marketplaces where traders exchange digital assets. While the identities of the wallet owners remain unknown, Chainalysis confirmed that they received funds directly from $LIBRA’s creator. Another analytics firm, Nansen, reported that these wallets still hold around $87 million worth of assets.
The withdrawn funds consisted of USDC, a stablecoin, and Solana (SOL), another cryptocurrency, with values fluctuating as market prices change. Despite widespread speculation, no definitive evidence has surfaced linking the transactions directly to President Milei. The token was initially launched on the crypto exchange Meteora, which has yet to comment on the situation.
Davis’ Defense and the Future of Libra
Hayden Davis, associated with Kelsier Ventures, claimed he acted as a “launch advisor” for the $LIBRA Crypto Token. In a statement on social media, he asserted control over approximately $100 million from the token’s marketplace but insisted he would reinvest the funds rather than personally benefit from them. Addressing concerns about a possible scam, Davis denied any involvement in a “rug-pull,” where token creators lure investors before abruptly withdrawing their assets.
Speaking to YouTube investigator Stephen Findeisen, known as “Coffeezilla,” Davis admitted the project had gone terribly wrong but reiterated his intent to stabilize the token. Despite his claims, many investors remain skeptical, as 70% of traders who participated in the $LIBRA Crypto Token lost money between Sunday and Tuesday. With an ongoing investigation and growing scrutiny, the fate of the controversial token remains uncertain.
