Milei Dissolves Argentine Task Force Investigating Alleged Libra Market Manipulation

Established via Decree 114/2025 in February, the UTI was tasked with gathering evidence on LIBRA's volatility after Milei's February social media post endorsing the token preceded its price surge and collapse.

The latest news from Latin America in brief:

Argentine Economists Slam Milei’s Handling of Congress-mandated Task Force

The Unidad de Investigación Financiera (UFI), or Financial Information Unit, in Argentina has completed its investigation into the alleged manipulation of the LIBRA cryptocurrency, marking the closure of the task force mandated by Congress.

According to a report by iberoamerican news outlet Controla, the task force was established via Decree 114/2025 in February following a social media post by Economix Minister and presidential candidate, Milei, who endorsed the LIBRA token.

Following his post, the token's price surged significantly, only to collapse shortly after as investors realized they were targets of a scam.

After coordinating with agencies such as the Central Bank and the Anti-Corruption Office, the UTI submitted its findings to the Office of the Prosecutor General. However, the news of the task force’s closure was May 19 and saw the signature of both Milei and Justice Minister Mariano Cúneo Libarona.

The latest decree saw the UTI praised for fulfilling its functions, rendering its continuation superfluous.

The scandal unfolded earlier this year when reports emerged of wallets tied to senior figures in the administration selling off LIBRA tokens following Milei's post. In response, investors voiced their complaints of market manipulation, especially given the administration officials' involvement.

Moreover, opposition lawmakers criticized Milei for blurring the lines between public office and private interests. They pointed to his campaign events in 2023, during which he allegedly collected $20,000 in undocumented cash from business leaders. These events, organized with his sister, Karina Milei, took place in private dinners despite legal limits on campaign contributions being set at $9,000.

While the UTI has concluded its work, a congressional investigative committee, formed in April to probe the same matter, has yet to commence proceedings.

The news comes as the new administration, which took office in May, announced plans to introduce a new cryptocurrency in collaboration with a consortium of banks. The unnamed token will be running on Cosmos using IBC Eureka and is being developed by Interchain Labs.

The co-CEO of the blockchain firm revealed in an interview with The Street that the government is aiming to integrate the cryptocurrency into its technology stack.

“[The government] is not interested in public infrastructure, they want to be able to maintain control over the technology and use it privately,” he explained.

The news follows reports of a new initiative by Banco Industrial, the largest bank in Guatemala, to integrate Sukupay, a crypto-based cross-border payment provider, in order to power its remittance services.

Using Sukupay, Banco Industrial will now offer its customers remittances at a flat fee of $0.99, allowing them to receive these funds in their bank accounts.

“This is a modern solution to a legacy problem — and we’re proud to lead the way in Latin America,” said Michel Caputi, Head of the Strategic Alliances Division at Banco Industrial.

According to Sukupay, this is the first time a crypto-native protocol has gone live at this depth inside a top-tier Latin American retail bank, making it the de facto option for Banco Industrial's customers to send money from the U.S. to Guatemala.

The integration follows a successful pilot phase and will allow Banco Industrial's customers in the U.S. to send remittances of up to $500 to Guatemala at a flat fee of $0.99, regardless of the amount or the recipient's location in Guatemala.

The funds will be credited to the customer's bank account in Guatemala within a maximum of three business days from the moment of the transfer in the U.S.

The initiative aims to provide a more efficient and cost-effective solution for the millions of Guatemalans living and working abroad who regularly send remittances to their families in their home country.

According to the World Bank, Guatemala received $14 billion in remittances in 2022, triple the size of the Central American nation's national budget.

Despite being a major recipient of remittances, Guatemala is also one of the most expensive countries in the region for receiving these funds.

Announcing the partnership in March, Sukupay highlighted the potential of blockchain technology to revolutionize the cross-border payments landscape and create new possibilities for cooperation and development.

"We are excited to be partnering with Banco Industrial to bring the benefits of cryptocurrency to a wider audience in Guatemala," said Ronny Vainstein, CEO and co-founder of Sukupay.

"Together, we are modernizing a critical financial service for the 21st century."

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