$251 Million Evaporated: LIBRA Memecoin Destroyed Investors’ Fortunes
- LIBRA memecoin causes losses.
- Total losses of US$251 million.
- 86% of traders lost money.
The recent memecoin frenzy LIBRA , which took over Argentina, left a trail of million-dollar losses for investors, revealing the riskiest side of the cryptocurrency market. According to data from Nansen, a blockchain analysis platform, 86% of traders who ventured into LIBRA suffered losses, totaling a loss of US$ 251 million.
A analysis Nansen’s report reveals a bleak picture for most investors. While a lucky few pocketed considerable profits, the vast majority saw their capital evaporate in a matter of days. Only $180 million in profits were recorded, creating a scenario of “negative net wealth generation” where the market as a whole lost value.
“LIBRA was minted on February 14, 2025, at 21:38 UTC. At 22:01 UTC, Milei tweeted about it, sparking market interest, with snipers simultaneously joining in. At 22:44 UTC, the token’s price surged to a peak of $4,55, marking a dramatic increase within an hour of its creation, only to immediately crash.”
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Two specific addresses caught the attention of analysts. In a swift and calculated move, these addresses bought and sold LIBRA on February 14, pocketing over $5 million in profits. “Two wallets bought $LIBRA at 22:01 UTC and sold it at 22:44 UTC on February 14, generating $5,4 million in total profits, with HyzGo2 earning $5,1 million.”
“The LIBRA teardown really began after the token was “robust,” with Hayden Davis later dismissing it as just a meme coin in stark contrast to his initial framing as a tool for Argentina’s economy. Meanwhile, Milei quietly deleted his endorsement tweet as the backlash mounted (only long after the price had already plummeted 80% from its peak), later stating that he was unfamiliar with the project’s details,” the analysts highlighted.
Following the controversy, Argentina's president, Javier Milei, faced accusations of fraud and impeachment requests. The allegations came after he shared information about the $LIBRA token, which many interpreted as a promotion. During a interview recently given to Jonatan Viale on the TN program “¿La Ves?”, Milei clarified her position.
“I didn’t promote, I shared,” Milei said in the interview. “I did it because I’m a technology enthusiast,” he explained, reiterating his passion for technological innovations and his optimism about the digital future.
At the time of publication, the price of LIBRA was quoted at US$0,2107 with a drop of 14.4% in the last 24 hours.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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