Key Takeaways
- An Argentine federal judge has ordered a freeze of LIBRA-linked assets following a new technical report from prosecutors.
- The order targets Hayden Davis and local operators accused of helping move $500,000 tied to the alleged scheme.
- President Javier Milei’s old LIBRA controversy has resurfaced, reigniting political tensions.
Argentina’s long-running LIBRA scandal is back in the headlines.
Federal Judge Marcelo Giorgi has issued a sweeping order to freeze assets linked to the defunct crypto project, citing new evidence gathered by financial investigators.
Judge Orders Asset Freeze
The order, formally known as a “prohibición de innovación,” prohibits the transfer or disposal of assets under investigation.
Prosecutor Eduardo Taino requested the measure following a new technical report from the Secretariat for Financial Investigation and Recovery of Illicit Assets and the General Directorate of Asset Confiscation.
Authorities allege that LIBRA defrauded hundreds of investors of between $100 million and $120 million.
Judge Giorgi’s latest order targets funds linked to Hayden Davis, the alleged mastermind of the LIBRA scheme, along with two operators who helped move money through regional crypto channels.
The Argentine suspects — Orlando Mellino and Favio Rodriguez — are accused of running wallets that showed suspicious activity tied to the project.
Investigators say $507,500 passed through the Bitget exchange within 42 minutes of a separate transaction involving President Javier Milei on Jan. 30, which was also frozen.
Interpol has since issued a red notice for Davis, and Argentine prosecutors are reconstructing transactions from Feb. 14-15, 2025, when trading volumes spiked by several million dollars — including a recent $4.5 million transfer from accounts linked to the case.
The LIBRA Scandal That Won’t Go Away
For President Milei, the LIBRA saga is an old wound that refuses to close.
The populist leader, who built his campaign around a pro-crypto message, briefly promoted the project before it was exposed as fraudulent.
At the time, Milei denied any financial involvement, saying he only shared information about the project and expected “people to do their own due diligence.”
Yet, his repeated references to LIBRA on social media — even after early red flags emerged — have fueled criticism from opponents.
The fallout has lingered through his presidency, with opposition lawmakers such as Claudio Lozano calling for greater accountability and transparency around his crypto ties.
Each new legal development, like Judge Giorgi’s asset freeze, revives the controversy and threatens to overshadow Milei’s economic reform agenda.
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Prashant Jha is a seasoned crypto journalist based in Delhi, India, with a Bachelor’s Degree in Computer Science Engineering. Passionate about the evolving world of blockchain and cryptocurrencies, he has been a dedicated voice in the industry since 2018. Prashant’s expertise lies in regulatory reporting, where he unravels complex legal and financial developments with clarity and precision. Before joining CCN in 2024, he honed his craft at Cointelegraph, establishing himself as a trusted name in crypto journalism.
His coverage spans major industry events, including the high-profile collapses of FTX, Three Arrows Capital (3AC), and LUNA, offering readers insightful analyses of their regulatory and market implications. Prashant’s technical background enables him to bridge the gap between intricate blockchain technology and its real-world applications, making his work accessible to novices and experts.
Beyond his professional pursuits, Prashant is an avid music enthusiast, often exploring diverse genres to unwind. A sports lover, he has a particular passion for cricket and frequently engages in discussions about the game. His multifaceted interests and sharp journalistic instincts make him a valuable contributor to CCN, where he continues shaping the crypto landscape's narrative.
