The post LIBRA Token Crashes 85% After Milei’s Promotion – $20M Insider Profits Exposed appeared first on Coinpedia Fintech News
Argentine President Javier Milei promoted the LIBRA token, saying it would help small businesses. But instead of excitement, his post on X raised concerns, with many suspecting a potential scam. Facing backlash, Milei quickly deleted the post, insisting he had no financial ties to the project.
Milei has been pushing economic reforms, but foreign investors remain cautious. While inflation is easing and new policies are in place, businesses continue to leave. The country also faces U.S. trade tariffs and struggles in key industries, making a full recovery uncertain.
At first, LIBRA seemed like a success, reaching a $4.5 billion valuation within hours. But the excitement didn’t last. Reports surfaced that developers withdrew $87 million in USDC and SOL from the project, causing the token’s price to plunge 85%. Investors panicked, and those who bought in early saw average losses of over 56% on their initial investment.
Blockchain analysts soon detected unusual activity. On-chain expert EmberCN found that certain wallets had withdrawn funds from exchanges before Milei’s post, then bought LIBRA immediately after and sold once the price spiked. These insiders reportedly made around $20 million in profit.
Adding to the concern, about 82% of LIBRA’s supply is controlled by a few connected wallets. This concentration gives a small group significant control over the token’s price, raising fears of manipulation.
Amid the controversy, justin sun
justin sun
Justin Sun is the founder of Tron and CEO of BitTorrent.He holds a graduate degree in East Asia studies from the University of Pennsylvania and a B.A. in history from Peking University. He has become the most renowned figure in the blockchain space, known for his intricate advertising strategies. Sun founded the blockchain-based operating platform TRON and launched the TRX token in 2017. In September 2017 his company Tron held an initial coin offering (ICO) for the TRX token.Sun also owns the crypto exchange Poloniex and is affiliated with the crypto exchange HTX (formerly Huobi). He is an ambassador, Permanent Representative of Grenada to the WTO, and a Geneva-based Chinese-Grenadian negotiator, business visionary, and business chief. In 2015 he was named CNTV’s most essential new business person and was named in Forbes China 30 Under 30 from 2015 through 2017.
Detail
Organization: TRONLocation: Geneva, SwitzerlandEducation: Master of Arts (M.A.) in Political Economy from the University of Pennsylvania (2011 – 2013).Skills: blockchain development, entrepreneurship, strategic vision, market influence, and networking
Awards
Crypto Entrepreneur of the Year: Given at Blockchain Life 2023 in recognition of his leadership at HTX and contributions to the cryptocurrency space.Centralized Exchange of the Year: Awarded to HTX at Blockchain Life 2023, under his leadership.Metaverse Navigator Award: Given during the Wiki Finance Expo in November 2023 to recognize his contributions to the metaverse domain.Financial Independence Ambassador Award: Also given at the Wiki Finance Expo in November 2023 for advocating financial independence via blockchain technology.Cryptocurrency Entrepreneur of the Year: Recognized at the October 2023 Blockchain Eco Conference in Dubai.
Experience
Founder of TRON: In 2017, the TRON Foundation was founded, and the TRX token was introduced through an initial coin offering (ICO) that brought in over $70 million.CEO of Rainberry (previously BitTorrent Inc.): Oversaw the creation of the BTT cryptocurrency token when purchasing BitTorrent for $140 million in 2018.Principal Agent at Ripple Labs: worked from 2014 to 2016, learning about cross-border payments and blockchain technology.Founder of Peiwo: Before working on blockchain, he launched a well-known voice-based social networking service in China.Diplomatic Role: From 2021 until 2023, I served as Grenada’s Permanent Representative to the World Trade Organization (WTO), campaigning for cryptocurrency and technological progress.Acknowledgment: Named a Davos Global Shaper in 2014 and included in Forbes’ 30 Under 30 Asia list.
FAQs
Who is Justin sun?Chinese entrepreneur Justin Sun founded TRON and is well-known for his acquisitions of BitTorrent and Poloniex as well as his significant influence in the blockchain space.Justin sun Net worth?As of early 2024, Justin Sun’s net worth is projected to be at least $1.4 billion, however, some sources put it as high as $1.5 billion.
EntrepreneurInvestorCrypto and Blockchain ExpertChief Executive Officer
voiced respect for Milei but urged him to take responsibility for the LIBRA issue. He called for those involved to return the stolen funds and face legal action, emphasizing the need to protect investors.
Meanwhile, some X users weren’t surprised, seeing this as another case of powerful figures executing a well-planned financial scheme.
LIBRA is connected to KIP Network Inc., the company behind the KIP Protocol, a Web3 project backed by Animoca Ventures. KIP Network has been involved in Argentina’s crypto space and even worked with the Buenos Aires government. However, their role in the LIBRA sell-off is unclear, leaving many investors feeling uneasy.
Coinbase’s head of product, Conor Grogan, commented on the situation. He said that major token launches like this are usually planned long before they go public. His comment suggests that LIBRA may have been designed to grab quick cash from the start.
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LIBRA’s collapse is similar to the Central African Republic’s CAR token. That project also made big promises, briefly reaching a $1 billion market cap before crashing below $20 million. Both cases serve as warnings that a government connection doesn’t guarantee a crypto token is a safe investment.
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