Argentina Freezes Crypto Accounts in LIBRA Token Probe

An Argentinian federal judge has ordered Binance, Bybit, OKX, CoinEx, FixedFloat, and Bitfinex to freeze dozens of crypto wallets linked to the failed LIBRA token project. The court has requested full access to client files, which include personal identification records, IP addresses, and linked bank accounts. This move follows a request by prosecutor Eduardo Taiano to track funds allegedly moved through these platforms after the token value crashed.

Authorities believe the organizers of the LIBRA project used a technique known as smurfing, which involves splitting large sums into smaller transactions to move money across exchanges without detection. Investigators successfully mapped a trail of funds from the original project wallets through decentralized protocols and into centralized exchanges. The goal of this legal action is to recover assets before the funds are converted into fiat currency and moved out of reach.

The LIBRA token gained notoriety in early 2025 after a brief endorsement by President Javier Milei. Following his social media post, the price spiked dramatically before losing almost all of its value within hours, leaving thousands of retail traders with significant losses. While the project organizers face ongoing scrutiny, the court is now looking to tie specific identities to the frozen accounts to determine who ultimately profited from the collapse.

The outcome of this case now depends on the data provided by the exchanges. As the investigation continues, observers are watching to see if the government can secure evidence that leads to a recovery of the missing funds. With political tensions rising around the case, the upcoming disclosure of these exchange records marks a critical turning point for the victims involved.