GuShiio.com LIBRA coin plunged 80%. Who is celebrating and who is crying?
Author: Planting spring malt
Source: Kindergarten digital assistant
1. Is the president personally going to issue coins? Is it an innovation or a fraud?
On February 15, 2025, Argentine President Javier Milei announced the launch of the Meme coin called **LIBRA** through official social media, claiming that the move would “promote Argentina’s economic growth” and directly announced the token contract address. As soon as the news came out, the price of LIBRA briefly soared to US$4.96, and its market value once approached US$5 billion. However, in just a few hours, its price was halved to US$0.6, and its market value shrank to less than US$1 billion, setting off a “roller coaster” farce.
What is even more alarming is that this operation was questioned as “questionable authenticity of the account.” Some media pointed out that Millay’s social account had repeatedly issued controversial remarks. The coin issuance may be the work of hackers, but the official response has not yet been clear.
2. President’s endorsement ≠ security, and the leek cutting routine is upgraded
1. The “celebrity effect” turns into a sickle
Millay is not the first politician to dabble in cryptocurrencies. In January 2025, former U.S. President Trump launched his personal Meme coin **TRUMP**. The market value surged 1250% on the day of launch, and the transaction volume exceeded US$5 billion. However, such tokens often lack actual value support and rely solely on celebrity traffic hype and eventually become a “harvesting tool.”
2. Speculative carnival in economic difficulties
Argentina has been mired in a debt crisis and inflation quagmire in recent years. The government has even eased fiscal pressure through radical policies such as cutting public spending by 30% and closing institutions. In this context, the president’s gimmick of “saving the country with cryptocurrency” can easily incite public speculation and cover up the weakness of economic governance.
3. Risk out of control in a regulatory vacuum
Although Argentina has discussed cryptocurrency cooperation with El Salvador, experts stressed that the feasibility of the country’s full adoption of digital currency is extremely low, and complex debt problems and financial system limit the implementation of policies. The sudden launch of LIBRA coins has neither a clear regulatory framework nor a technical white paper. It is more like an “impromptu performance.”
3. Historical lessons: From Trump to the Central African Republic
Trump Family Coin Issue: A “Gray Carnival” of Political Power and Business Interests
Trump’s wife Melania launched the **MELANIA coin ** immediately after Trump issued the coin, causing the price of TRUMP coin to be halved and the market value evaporated by US$7.5 billion in 10 minutes. Amid the sharp fluctuations in the market, more than 260,000 investors sold their positions within 24 hours, causing heavy losses. Although Trump claimed that the move was “supporting cryptocurrency innovation,” experts pointed out that it was essentially a “predatory financial tool” that attracted retail investors to take over the offer through political aura and eventually cashed out.
Central African Republic President’s “Rough Experiment”: CAR coin and regulatory vacuum
In February 2025, the President of the Central African Republic, Faustin Archange Toadella, launched Memecoin **CAR**, claiming to “promote national development through crypto assets.” However, the investigation found that the official website domain name of the token was only registered for 4 days, and 80% of the tokens were concentrated in 6 associated addresses. The source of funds was the Binance Exchange, and technical security measures were almost zero. Xian Xin, founder of Slow Fog, pointed out that the risk of carrying viruses on the official website is extremely high.
Although the Central African Republic is the second country after El Salvador to use Bitcoin as legal tender, its economic foundation is weak and its per capita GDP is among the lowest in the world. The president’s issuance of coins has been questioned as “using poverty to cover up financial speculation” and may even be the work of hackers to steal accounts.
4. Be vigilant! Cryptocurrency’s “politicized trap”
Milai’s LIBRA coins, ostensibly under the banner of “economic innovation”, may actually hide multiple risks:
- Policy contradictions: The Argentine government previously only allowed bitcoin payments in certain scenarios, far from reaching the level of full support for cryptocurrencies. This coin issuance runs counter to existing policies.
- Sovereign credit overdraft: If the LIBRA currency eventually collapses, national credit will be severely damaged, further exacerbating economic turmoil.
- People’s wealth evaporates: Ordinary investors blindly follow suit, may suffer heavy losses due to the collapse in prices, and ultimately pay for the politicians ‘”experiments.”
conclusion
Cryptocurrency should not become a tool for politicians to transfer conflicts and harvest public opinion. From Trump’s TRUMP to Millay’s LIBRA, behind the so-called “presidential projects” is the collusion of capital and power, and it is also the wealth trap of ordinary people.
Investment warning:
- Stay away from Meme coins that have no real value and rely purely on hype;
- Be wary of politicians and celebrity endorsement projects and rationally analyze the underlying logic;
- Keep in mind-high returns are accompanied by high risks, and there is an abyss under the myth of sudden wealth.
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