Draft $5M Deal Surfaces in Milei Crypto Probe
A judicial investigation into the Libra crypto scandal has revealed a draft document proposing a $5 million deal tied to Argentine President Javier Milei's promotion of the token. Recovered from the phone of lobbyist Mauricio Novelli, the note, written in English on February 11, 2025, details a three-stage payment plan. The agreement stipulated a $1.5 million advance in liquid tokens or cash, a second $1.5 million payment upon Milei announcing crypto entrepreneur Hayden Davis as an advisor on Twitter, and a final $2 million payment for signing a blockchain and AI consulting contract with the Argentine government.
This document was created just three days before President Milei posted about the Libra token on the social media platform X. While the note does not specify the recipient of the funds, its discovery provides the first piece of evidence supporting the hypothesis of bribery in a case that has already prompted a congressional committee to recommend assessing Milei for misconduct, a potential precursor to impeachment.
Phone Records Contradict President's Defense
Forensic analysis of call logs further compromises President Milei's public defense that he merely “spread the word” about the project. The records establish that Novelli was a “central node” of communication, exchanging at least five messages with Milei at approximately 7:01 PM on February 14, 2025—the exact moment the president posted the Libra contract code. This contradicts expert testimony that the code was not publicly available at the time of the post, suggesting a coordinated effort.
Investigators also found records of extensive communication between Novelli, President Milei, his sister and Chief of Staff Karina Milei, and presidential adviser Santiago Caputo in the hours and days following the token's collapse. A separate note drafted on Novelli's phone on February 16, 2025, outlined a crisis communications strategy, appearing to be a script for Milei to deny financial involvement and attribute the controversy to political opponents. This indicates active damage control and a level of involvement far beyond a casual endorsement.
Libra Token Collapsed 94% After $4B Peak
President Milei's promotion had an immediate and dramatic effect on the Libra (LIBRA) memecoin. The token's market capitalization briefly reached $4 billion before its creators reportedly executed a 'rug pull,' withdrawing liquidity and causing the price to crash 94% within hours. The collapse wiped out hundreds of millions of dollars for investors and sparked criminal investigations into fraud, abuse of authority, and influence-peddling against the president.
The fallout has created a significant political crisis for Milei's administration. He is now the subject of multiple investigations in Argentina and was named as a possible beneficiary in a civil case filed in New York. The deepening scandal challenges the president's anti-corruption platform as his government's approval ratings begin to decline.
