By Abhijeet
Key Points
- LIBRA Lawsuit Burwick Law Sues Meteora and Others
- The lawsuit claims they manipulated the token’s price, leading to its collapse.
- Kelsier Ventures’ CEO, Hayden Davis, now faces an arrest warrant.
- Investigations continue as the case sheds light on meme coin scams.
New York-based Burwick Law has launched a class-action lawsuit against KIP, Meteora, and Kelsier Ventures over the disastrous LIBRA meme coin launch. The lawsuit alleges that these entities engaged in deceptive practices, artificially inflating LIBRA’s price before dumping it on retail investors.
Tonight, our firm filed a class action complaint in the Supreme Court of New York on behalf of our client. We allege that Kelsier, KIP, Meteora, and related parties orchestrated an unfair token launch ($LIBRA), allegedly misleading purchasers and harming retail investors. pic.twitter.com/H7dD2LaARK
— Burwick Law (@BurwickLaw) March 18, 2025
LIBRA, a token linked to Argentina’s political scene, collapsed shortly after launch, leaving many investors with heavy losses. While speculation initially tied Argentine President Javier Milei to the scandal, Burwick Law’s lawsuit focuses solely on private entities.
Hubo un intento de cambiar el nombre a último minuto de $LIBRA a $ARG ?
La semana pasada comenté que hubo un token llamado $MILEI que fue lanzado por el mismo equipo de $LIBRA
Parece que hubo un tercer token llamado $ARG que fue creado después que $LIBRA y $MILEI , pero antes… pic.twitter.com/cwYkesjr44
— Fernando Molina (@fergmolina) March 17, 2025
The firm alleges that KIP, Meteora, and Kelsier manipulated LIBRA’s liquidity pools, allowing insiders to profit while retail buyers suffered. According to their complaint, roughly 85% of the token’s supply was withheld at launch, a classic sign of a pump-and-dump scheme.
Assets Possibly Launched By LIBRA Team. Source: Fernando Molina – Techtoken
A Pattern of Meme Coin Scams?
The LIBRA fiasco is not an isolated case. The crypto space has witnessed multiple meme coin scandals, with projects exploiting hype for short-term gains before collapsing. Recently, the BNB Chain faced another wave of meme token exploits, raising concerns about security in the meme coin sector.
Burwick Law files a class action lawsuit against Kelsier Ventures, KIP Protocol, and Meteora over the LIBRA token launch, alleging insider trading & liquidity manipulation. Investors lost millions as the token collapsed 94%. #CryptoScandal #Libra #CryptoNews
— Teak Finance (@teakfinance) March 18, 2025
Meteora, a decentralized exchange, played a central role in the LIBRA token’s launch. Following the token’s collapse, one of Meteora’s co-founders resigned, though he insisted on his innocence. Notably, this wasn’t Meteora’s first controversy—it was previously linked to the TRUMP meme coin, which saw massive speculative trading.
Kelsier Ventures, LIBRA’s market maker, is at the heart of the controversy. CEO Hayden Davis openly defended his actions, even admitting to past scams in a shocking interview. His involvement has now led to an active arrest warrant, making him the most high-profile target in the scandal.
Further investigations suggest that the same group behind LIBRA may have attempted to launch two other Argentina-themed tokens, ARG and MILEI, using similar liquidity manipulation tactics.
What This Means for Crypto Regulation
The LIBRA lawsuit comes at a time when the crypto industry is facing increased scrutiny. The future of Ethereum’s growth and the integration of DeFi with TradFi are critical topics, especially as regulators look to curb market manipulation in digital assets.
With political meme coin schemes damaging the reputation of the crypto space, this lawsuit could be a significant step in holding bad actors accountable. As the case unfolds, the industry watches closely, hoping for justice and clearer regulations to prevent future scams.
Meanwhile, the rise of Bitcoin ETFs and other institutional investments suggest that the crypto market is maturing. However, cases like LIBRA highlight the need for stronger safeguards to protect investors from fraudulent schemes.
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