19-2-2025 – A major controversy has erupted in Argentina’s political sphere as revelations emerge about alleged improper connections between cryptocurrency venture capitalists and President Javier Milei’s administration, casting a shadow over the recent Libra token debacle.
Fresh evidence suggests that Hayden Davis, the chief executive of Kelsier Ventures, claimed intimate access to President Milei’s inner circle months before the controversial launch and subsequent crash of the Libra cryptocurrency. According to private messages obtained by industry observers, Davis boasted about his ability to influence presidential decisions through financial arrangements with the president’s sister, Karina Milei, who holds significant sway in the current administration.
In messages dated mid-December, Davis made extraordinary claims about his influence over governmental decisions, suggesting direct payments to the president’s sister secured him considerable leverage. These allegations have emerged amidst an expanding anti-corruption investigation launched by the Argentine presidential office following the Libra token controversy.
The scandal reached its pinnacle on 15 February when President Milei publicly endorsed the Solana-based cryptocurrency as an innovative funding solution for Argentine small businesses. The endorsement proved catastrophic as the token’s value plummeted by more than 95% within hours of its launch, despite initially reaching a peak of $5.
Financial records indicate that Davis’s Kelsier Ventures and associated digital wallets amassed approximately £100 million during the token’s brief price surge, whilst numerous retail investors suffered substantial losses.
The incident, dubbed “cryptogate” by local media, has triggered calls for impeachment proceedings from opposition leaders. Market analysts report that the controversy has negatively impacted Argentina’s stock market, forcing the Milei administration into crisis management mode.
Questions remain about the timing of President Milei’s social media endorsement and its subsequent deletion after blockchain analysts uncovered suspicious trading patterns. Both Karina Milei’s office and Hayden Davis have remained silent in response to multiple requests for comment regarding these allegations.