1. Basic Information

• Token Name: $LIBRA
• Type: Memecoin (No intrinsic value or backing assets)
• Developer: KIP Protocol
• Prominent Figure Involved: Endorsed by Argentine President Javier Milei
• Launch Date: February 2025
• Market Peak: $4.6 billion market cap
• Website Registration: Hours before public endorsement

2. Key Compliance Issues

a) Transparency & Disclosures

• Lack of clear roadmap: No detailed whitepaper, business plan, or official disclosures.
• Website registered last minute, raising concerns about premeditated fraud.
• No regulatory filings or compliance with financial authorities.

b) Financial Integrity & Investor Protection

• Allegations of a pump-and-dump scheme: Insiders allegedly liquidated $87.4 million within hours of market peak.
• Market manipulation: Rapid price increase following the presidential endorsement, followed by a 94% crash.
• Investor losses: Over 50,000 investors affected, with potential classification as a financial scam.

c) Political & Ethical Concerns

• Use of political influence: Milei’s endorsement created misleading confidence among investors.
• Conflict of interest: High-profile politicians promoting unregulated financial assets.
• Legal actions: Calls for impeachment and fraud investigations in Argentina.

3. Potential Legal & Regulatory Risks

Regulatory Investigations Expected

• Authorities may investigate securities fraud, market manipulation, and financial misconduct.
• Possible involvement of the Argentina Securities Commission (CNV) or global financial regulators.

Compliance Red Flags

• Unregistered token with no known compliance with AML/KYC laws.
• Evidence of unfair trading practices, where insiders profited while retail investors suffered.
• Misleading public statements, as the official promotion lacked financial backing or audit.

4. Compliance Risk Rating

High Risk – Possible Fraud Case & Political Scandal

Investors should exercise extreme caution. Regulatory bodies may take legal action, and future audits could reveal deeper financial misconduct.

Compliance Rating: HIGH RISK

• No regulatory compliance, possible securities fraud.
• Allegations of pump-and-dump, insider profits of $87.4 million.
• Political endorsement now under legal scrutiny.
• No investor protection, major financial losses.

Customer Trust Rating: VERY LOW

• Lack of transparency, no clear roadmap or disclosures.
• Investors lost 94% of value within hours.
• Widespread community backlash, scam allegations.
• Potential legal actions and investigations.