An Argentine federal judge dismissed the LIBRA criminal case against President Javier Milei and 10 other people on October 23, 2026, finding that the evidence did not establish fraud or another criminal offense.

Key Takeaways

  • The ruling followed a request for dismissal from prosecutor Eduardo Taiano.
  • LIBRA lost more than 90% of its value within hours of its February 2025 launch.
  • Excluded investors are seeking reinstatement as private plaintiffs, which could give them a route to challenge the dismissal.

Why the LIBRA criminal case was dismissed

Federal Judge Marcelo Martínez de Giorgi issued the 60-page ruling after Taiano requested that the investigation be dismissed. The decision also covers Milei’s sister Karina Milei, launch adviser Hayden Davis, crypto lobbyist Mauricio Novelli and KIP Protocol executive Julian Peh.

The investigation centered on Milei’s February 14, 2025, post on X promoting LIBRA as a private initiative intended to support Argentine businesses. The token climbed above a $4 billion market capitalization before losing more than 90% of its value within hours. Subsequent on-chain analysis showed wallets associated with the project withdrew around $100 million as the token collapsed.

The judge found that Milei’s presidency could have given his promotion exceptional visibility, but that prominence and publicity alone did not establish fraudulent deception. The dismissal does not establish that the launch was financially fair; it means the court found insufficient evidence of the criminal offenses under investigation.

Evidence and earlier findings

Investigators recovered a note from Novelli’s phone referring to three payments totaling $5 million. They established that the note existed in Apple Notes but could not establish that it had been sent to Davis or another recipient. Phone records showed communications between Milei and Novelli around the launch, but their contents were not established.

Argentina’s Anti-Corruption Office had previously cleared Milei of public-ethics violations, while leaving the criminal investigation open. Separately, a congressional investigative commission concluded that Milei had provided “essential collaboration” by giving LIBRA visibility. That political finding did not establish criminal liability.

Investors seek a path to appeal

Taiano requested the dismissal and is not expected to appeal. Investors who participated as private plaintiffs were removed from the case in July, and an appeals court upheld their removal in September.

The excluded investors are seeking reinstatement before Argentina’s Federal Criminal Cassation Court. If successful, they could attempt to appeal the October dismissal. Their challenge had not been resolved when Martínez de Giorgi issued his ruling.

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