DOJ investigates $LIBRA scam after investors lost up to $107M. Key players, including Hayden Davis, are under fire. Even Argentina’s president got dragged in.
The $LIBRA memecoin crash is blowing up, and the DOJ is now on the case. The crypto project, which left thousands of investors across the US, Argentina, and beyond in the dust, is being investigated as a massive scam. Investors are looking at losses between $87 million and $107 million, and criminal charges are on the table.
At the center of it all is Hayden Mark Davis, accused of running the whole operation. Other figures like Julian Peh from Singapore, Mauricio Novelli from Argentina, and Manuel Terrones Godoy (linked to Argentina and Spain) are also under investigation.
It all became worse when Argentine President Javier Milei promoted $LIBRA on social media before the crash and later disassociated himself from it. He even went ahead to call crypto investments gambling. His action has brought forth legal complaints and impeachment demands.
Meanwhile, Davis has gone off the grid in Texas after receiving threats, but not before admitting in interviews that he manipulated $LIBRA’s price and kept investors’ cash—except for one refund.
The case is under the DOJ’s Fraud Section, but if the evidence piles up, we could see the FBI and SEC get involved. With more than 200 investors hoping to get their money back, this could become one of the biggest crypto scandals in years.
Also Read: U.S. Recovers $31M From Uranium Finance Hack, But Many Questions Remain