VanEck Exec Still Backs LIBRA Coin After 72% Crash & Rug Pull Drama

VanEck’s Gabor Gurbacs loves the LIBRA meme coin, despite everyone else’s doubts about a rug pull.

The coin, associated with Pro-Crypto President Javier Milei from Argentina has lost 72% since its launch. But Gurbacs thinks Milei’s vision for financial innovation can solve the crisis and bring back investor confidence.

In a post on X (formerly Twitter) dated February 19, Gurbacs praised Milei’s stance on free currency competition saying it can support transactions in fiat, Bitcoin, WTI, BTU and other real world assets. Despite the turbulence around LIBRA, Gurbacs believes Argentina’s leadership can fix the issues and get the token to stability.

LIBRA Token Plunges Amid Allegations of Insider Profiteering

The LIBRA meme coin, originally backed by Milei’s supporters has lost a lot of value. Insiders cashed out a total of $107 million after the price surged and now everyone’s wondering if it’s a coordinated exit scam. LIBRA’s value has dropped almost 90% from its peak and the market is very volatile.

Milei has denied any wrongdoing further fueling the speculation among traders and analysts. Investigations are ongoing into the token’s launch and its ties to the KIP Protocol.

Key facts from CoinMarketCap data:

• LIBRA coin price: $0.2676 (down 20% in 24 hours)

• Intraday low: $0.2617 | High: $0.3526

• Overall loss since launch: Over 72%

Industry Reactions and Market Outlook

The LIBRA controversy has divided the crypto space. While Gurbacs is optimistic and warns against scams in the industry, others are skeptical of the project.

Meanwhile Kelsier Ventures CEO Hayden Davis was rumored to have influenced the launch by making payments to Milei, according to CoinDesk but later retracted. Davis has denied the allegations and investors are left waiting for the outcome of the investigations.Traders are being cautious. Market is fragile. LIBRA’s future is unknown.

But its 72% drop in value since launch is a great reminder of the risks in speculative crypto assets. We’ll be watching to see if Milei’s government can fix this or if LIBRA will be another cautionary tale in the wild west of crypto.