The team at Nansen estimates that a staggering 86% of wallets invested in the Token recorded losses exceeding $1 billion, totaling a whopping $251 million. To break it down, here are the key points:
- 86% of traders lost money on LIBRA.
- Nansen estimates losses of over $251 million.
- The Token reached a market value of $4 billion before collapsing 95%.
- Javier Milei faces fraud charges after promoting the memecoin.
New data has emerged regarding the LIBRA cryptocurrency project, which had the support of President Javier Milei on social networks and resulted in an apparent scam. A recently published report estimates that investors lost a total exceeding $251 million after the Token’s collapse.
Case LIBRA Derived Losses of $251 Million
The analysis firm Nansen Research compiled data and determined that around 86% of merchants who bought the LIBRA token were affected, with significant losses estimated at several hundred million dollars. The team indicates that there were a total of 15,431 wallets that registered profits or losses of over $1,000. “Of these, 86.07% of the addresses have had losses for a value of $251 million, which really shows the magnitude of the losses suffered in the recent operation with Libra,” the researchers pointed out.
However, not all investors seem to have lost, as another 2,101 wallets totaled profits of $180 million. Of those, about 57 directions registered quite favorable rapid movements, suggesting that these could have been bots instead of figures with privileged information. Three wallets stand out, which capitalized $6.4 million, $5.4 million, and $5.1 million, respectively.
The Token was created on February 14, 2025, at 9:38 p.m. UTC. Twenty-three minutes later, Milei mentioned LIBRA in its X account, generating a strong interest in the market. In less than an hour, the price reached its maximum of $4.55 before collapsing almost immediately. At its peak, the market capitalization of LIBRA reached $4 billion but quickly fell 95%, leaving thousands of investors trapped with irreversible losses.
Case LIBRA Still Under Development
The case is currently under investigation, with President Milei being one of the figures under strong pressure from those affected and critics of his government. In a recently conducted interview, President Milei claimed that he never intended to persuade people to buy LIBRA, as he only wanted “to run his voice” about a project that seemed designed to help Argentine companies. The president also assured that few Argentines lost money and most token investors were “Chinese and Americans.”
Despite the clarification, the president now faces problems with local authorities. A judge in Argentina was selected to investigate the fraud complaints presented against the president, while a law firm in the country also requested the US Department of Justice and the FBI to investigate the case. The most recent reports on the case indicate that the plot could have been more complex than suspected. The self-proclaimed advisor to LIBRA, Hayden Davis, said they would have bribed the sister of the Argentine president, Karina Milei, to achieve influence in favor of the social networks project, which is why the president would have shown his support on social networks.
The Argentine Blockchain Foundation has called on all those affected, to whom they will offer free legal advice to take actions.
WARNING: This is an informative article. It should be noted that investments in crypto are not regulated in some countries and may not be appropriate for retail investors, as the inverted total amount could be lost. See your country’s laws before investing.
