LIBRA case: CEO Davis denies allegations and proposes refund

The CEO of Kelsier Ventures, Hayden Mark Davis, has given a voluntary statement to a New York federal court dismissing any allegations of insider trading, fraud or misconduct related to the collapse of the LIBRA token.

This is a significant step in the ongoing legal battle over the future of the LIBRA cryptocurrency.

CEO Responds To Accusations In Court
U.S. investors have filed a class action lawsuit, accusing Davis and others of manipulating the price of LIBRA, a controversial digital token that has seen a rapid rise in value followed by a collapse. Davis defended the project, claiming that the main cause of the collapse was the sudden removal of a social media post by Argentine President Javier Milei, who had previously publicly supported the token.
According to some reconstructions, the post allegedly fuelled investor enthusiasm before being taken down, thus generating suspicions that LIBRA was a scam.

Davis rejected such allegations, stating that the token was never intended as a 'pump and dump' scheme, but rather to support educational programmes and small businesses in Argentina. He also denied any personal involvement in such practices and claimed to have no knowledge of the so-called 'snipers', i.e. those who allegedly purchased large quantities of LIBRA shortly before it debuted on the market.

"I was not aware of the existence of these snipers, nor do I know who they are. I was not one of them and I did not purchase LIBRA either for myself or on behalf of others,' said Davis.

Davis also challenged the jurisdiction of the New York court, stating that he does not live or work in the United States and emphasising that the LIBRA project was entirely conceived and initiated in Argentina. He suggested that any legal proceedings be transferred to the Argentine courts.

One of the most notable aspects of the statement was Davis's offer to repay around $100 million to investors, a sum he would transfer between 14 and 15 February 2025. However, the repayment plan is effectively blocked, as a US court order has already frozen more than $55 million in cryptocurrency.

The investigation continues in both the US and Argentina. The Argentine Congress has set up a special commission to shed light on the affair. Doubts have been raised about the initial claims made during the rise of the token, as well as questions about President Milei's level of knowledge about the project and how he came to publicly support it.

"Shortly afterwards, President Milei decided to delete his post on X. To this day I still do not know the reason for his decision, as I was neither involved nor informed before it was removed. I have always believed that $LIBRA was intended to support small businesses and educational initiatives in Argentina,' Davis added.

The LIBRA case highlights the unpredictable nature of meme coins and the strong impact that political figures can have on market dynamics, as the investigators' attention intensifies.