Argentine President speaks out on Libra for the first time, denies any wrongdoing

Odaily News Argentine President Milley spoke for the first time about the cryptocurrency scandal. Milley confirmed that he had met with the people who proposed and launched Libra, but his purpose in posting related messages on social media was not to convince people to buy it, but to raise awareness of efforts to support Argentine businesses in using cryptocurrencies.
“I’m not an expert,” Miley told local TV station Todo Noticias on Monday evening. “My expertise is economic growth, with or without money, and as a huge tech enthusiast, I saw the possibility of a tool to finance entrepreneurial projects, so I spread the word.”
Argentina's government has launched an internal investigation as opponents of Milley seize on the worst crisis he has faced in more than a year in power. He acknowledged he may need to change his attitude toward meeting with anyone who can offer solutions to the country's long-standing economic woes.
“The most important lesson is that I can no longer be Javier Mile in the same way I was before, and sadly I have to put more filters in place so that it’s not so easy for people to reach me,” Mile said.
Despite Argentines' demands for answers, the presidential palace initially remained silent. Economy Minister Luis Caputo was the first cabinet member to speak publicly on Monday evening, saying the incident was an unforced error on a niche topic and that Millet had no ill intentions and had committed no crime.
“Crypto is a tiny, infinite world,” Caputo said. “It’s an expert world, and it’s hard to understand. I don’t understand cryptocurrencies, and someone has explained it to me 800,000 times.”
He sought to assure the public that the incident would have no impact on the market and said no overseas investors had texted to inquire about it. Caputo said he had not discussed the matter with the president or even met him despite spending some time in Malacañang on Monday.
U.S. bond and stock markets were closed on Monday. Still, investors in Buenos Aires sold shares of some of the country’s largest local companies. The S&P Merval index fell about 5.6% on Monday, its biggest one-day drop since July last year.
Some of Milley’s allies told local media on Monday that the president was deceived by those who issued the token and said he was unfamiliar with the details. Meanwhile, Hayden Davis, CEO of Kelsier Ventures, which helped issue the token, said he was still seeking explanations from the government.
Davis said he believed the culprit for the disaster was not Milley himself, but people around him. However, he did not name anyone and claimed to fear for his life. He defended the president: "I firmly believe that he is not corrupt, and I don't think Milley even fully understands what happened."
Hundreds of clients have lost significant amounts of money due to Libra’s price swings, according to Max Burwick, managing partner of Burwick Law in New York. He said in response to written questions that the firm is “helping them explore potential avenues for financial recovery.”
Local law firm Moyano & Asociados said it has filed a lawsuit with the U.S. SEC.
An Argentine judge has been assigned to investigate more than 100 legal cases filed against Milley since the incident. Opposition leaders have called for an impeachment trial, but that is unlikely to succeed as it would require a two-thirds majority in Congress. (Bloomberg)