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LIBRA memecoin losses reach $251M

LIBRA memecoin losses reach $251M

GrafaGrafa2025/02/20 09:00
By:Mahathir Bayena

A memecoin endorsed by Argentine President Javier Milei, known as LIBRA (CRYPTO:LIBRA), has resulted in substantial financial losses for numerous traders.

According to blockchain research firm Nansen, approximately 86% of traders who invested in LIBRA experienced losses exceeding $1,000.

The total losses amount to $251 million, affecting over 13,000 investors.

Nansen's report, released on February 19, examined over 15,000 crypto wallets and revealed that only a small fraction of traders profited from the memecoin.

While the majority suffered significant losses, a mere 2,101 wallets managed to secure realized gains of about $180 million.

Nansen's Nicolai Sondergaard stated there is "very tangible on-chain evidence showing a group of 'insiders' unilaterally profiting off of the masses who got involved."

The LIBRA token was created on February 14, 2025.

Milei's tweet about the memecoin on the same day triggered a surge in market interest.

The token's price peaked at $4.55 within an hour of its creation, before immediately crashing.

This rapid surge and subsequent 95% collapse led to widespread controversy.

Nansen's data indicates that 1,478 wallet holders faced realized losses between $1,000 and $10,000, totaling $4.8 million.

More than 2,800 wallets lost between $10,000 and $100,000, amounting to $82.4 million, while another 392 wallets saw losses between $100,000 and $1 million, reaching $96.5 million.

Additionally, 23 wallets lost over $1 million, with combined losses of $40.9 million.

Dave Portnoy, the founder of Barstool, also experienced a significant loss of $6.3 million.

Milei has since distanced himself from the project, claiming he only intended to "spread the word" and not promote the token.

Despite this, Argentina’s opposition party is calling for Milei's impeachment.

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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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