Argentina Wants Cardano Founder To Testify Over LIBRA Scandal

Cardano founder Charles Hoskinson was cited to testify by the congressional committee investigating Argentine President Javier Milei over the Libra scandal earlier this year.

Hoskinson had previously spoken extensively about the Libra launch and the backdrop of the Argentina Tech Forum. 

Key Figures Summoned in Libra Probe

The congressional committee investigating Argentine President Javier Milei’s involvement in the Libra scandal released a list of 19 people cited for their knowledge of the matter, according to documents obtained by BeInCrypto. 

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The list mainly contained the names of high-profile politicians, businesspeople, and investors closely linked to the case shortly after Libra’s launch.

While Milei was given five days to provide a detailed, written testimony and answers to an annexed questionnaire, other members of his administration were also called on.

Cited cabinet members include Karina Milei, the President’s sister and Secretary General of the Presidency; Chief of Staff Guillermo Francos; and Press Secretary Manuel Adorni. 

Investors close to the President and organizers behind the Argentina Tech Forum of last October will also have to respond. These include Argentine trader and entrepreneur Mauricio Novelli and investor and influencer Manuel Terrones Godoy, known on YouTube as ” KManuS88.” 

A Surprising Name on the List

According to Congressman Maximiliano Ferraro, President of the Libra investigative committee and member of the opposition party Coalición Cívica ARI, only Milei has been formally summoned to testify so far.

He added that the commission will likely publish the citation schedule for the rest of the people on the list sometime next week. 

The committee included a surprising name at the end of the list. The last person cited to provide testimony was Cardano founder Charles Hoskinson. 

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When asked to comment on his summons, Hoskinson told BeInCrypto that he was unaware of the citation. He added that he believed the motivations behind the investigation were political and reaffirmed his faith in the government’s current course of action.

Though the Cardano founder was critical of the Libra launch and the organizational approach to the Argentina Tech forum, he has doubled down on Argentina’s fintech scene. 

The Origins of the Libra Scandal

Hoskinson has played an active role in cultivating the Cardano ecosystem in Argentina. 

In May, Input Output Global, the research firm behind the network, inaugurated its first physical office outside the United States in Buenos Aires. Last December, the founder hosted the ratification of the Cardano Constitution at the University of Buenos Aires. 

Hoskinson also traveled to the Argentine Capital last October to attend the Argentina Tech Forum. The event was highly anticipated, given that Milei would give a keynote speech. There, Milei met with people later associated with the Libra scandal, namely Kip Protocol CEO Julian Peh and Novelli. 

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When the Libra token skyrocketed and later plummeted in February, causing thousands of dollars in losses for retail investors, a political scandal broke loose for the Argentine President, who had shared the project on his X account. 

Peh, and later Kelsier Ventures CEO Hayden Mark Davis, came under intense scrutiny after their alleged involvement in promoting the project became public.

Hoskinson took to YouTube to share his experience at the Argentina Tech Forum a day after Libra’s price crash.

Hoskinson’s Bribery Allegations

A day after Libra’s launch, Hoskinson dedicated a video to discuss what had happened. During the livestream, he placed extensive emphasis on the event that had taken place five months earlier. 

The Cardano founder, interested in expanding operations in the country beyond private sector opportunities, wanted to explore potential public-private partnerships.  

He explained that the event organizers, likely referring to Novelli and Terrones Godoy, told him that the Tech Forum would be a good chance to have a sit-down with the President. That never happened. Instead, Hoskinson got a handshake and a group photograph.

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According to him, such promises soon turned into a request for bribes.

As soon as Hoskinson responded that that would be against the United States Foreign Corrupt Practices Act (FCPA), these actors stopped all dialogue with him and his team. 

Hoskinson also shared his personal interpretation of the Libra scandal. He clarified that he thought Milei was a good person who had surrounded himself with the wrong people. 

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Why Hoskinson’s Testimony is Key

Though official reasons for Hoskinson’s citation remain unknown, investigators will likely find his public statements highly relevant.

People close to the matter told BeInCrypto they were surprised Hoskinson’s name was listed among those being investigated. Given his understanding of the subject, they said, Hoskinson should have been cited to testify as an expert.

Though the investigation isn’t criminal, Ferraro clarified that all 19 people cited should respond. If they don’t, the commission will evaluate what next steps to take.