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Argentine president Javier Milei is defending himself amidst accusations of fraud and calls for impeachment following his promotion of the $LIBRA token. Speaking during an interview with Jonatan Viale on TN’s “¿La Ves?” on Monday, Milei claimed he simply shared information about the project rather than actively promoting it. “I didn’t promote it, I shared it,” Milei explained. “I did it because I’m a fanatical techno-optimist.” “I acted in good faith and I got slapped,” Milei said, addressing the controversy. He maintained that the incident affected only a small number of Argentines, with most investors being Chinese and American. Explaining the reason for sharing, Milei stated that he shared the $LIBRA token information because he is enthusiastic about such projects and discovered it shortly after its creation. “I shared this like I shared hundreds of things. My tweet was three minutes after the coin was created because I am a fan of this stuff,” he mentioned. Milei claimed that those who invested in $LIBRA were well aware of the risks involved. He disputed claims of widespread impact, insisting that the actual figure was far less than 44,000. “The claim that 44,000 people were affected is simply wrong. The real number is closer to 5,000, at most. And it’s highly unlikely any Argentinians were involved. These are sophisticated traders, volatility traders who knew what they were getting into,” he asserted. “…they did it voluntarily.” The president revealed he met Hayden Davis, who facilitated the token launch , at Casa Rosada in October 2024. He said that Davis proposed creating a financing structure for entrepreneurs lacking traditional funding options. “When the Libra thing became public, I spread the word,” Milei said, explaining that his first tweet was to help Argentines who do not have access to traditional financing. When asked why he deleted the tweet, Milei said he removed it due to negative feedback. “When people started saying my account was hacked, I pinned the tweet to show it was really me. But then the negative comments piled up, so I took the tweet down to avoid confusion. I never actually deleted it, though – I just hid it,” he said. He denied government involvement in the operation but warned that “if the justice system determines otherwise, heads will roll.”

The Internal Revenue Service (IRS) will fire 15,000 employees next week, right in the middle of tax season, according to a report from AP. The mass termination is happening under Elon Musk’s Department of Government Efficiency (D.O.G.E.), a temporary agency created by executive order to cut federal jobs and slash government spending. The layoffs come after the Trump administration ordered all federal agencies to terminate probationary employees who haven’t secured civil service protection. It’s unclear if more IRS workers will be affected, but sources say the cuts are happening fast. IRS blocks tax season workers from taking buyouts The administration had already launched a “deferred resignation program” designed to push federal employees out with buyout offers. The deadline to apply was February 6, and workers who accepted will keep getting paid until September 30—even after leaving their jobs. But for IRS employees working on the 2025 tax season, the buyout was off-limits. The agency sent a letter telling them they must stay until the April 15 tax filing deadline before they could leave. The IRS started processing tax returns on January 27 and expects to handle over 140 million filings before the cutoff. The agency had been on track to expand operations after receiving $80 billion through Biden’s Inflation Reduction Act. The funding was meant to hire thousands of new workers and upgrade enforcement technology. But that plan fell apart. Republicans clawed back much of the money, and Elon’s D.O.G.E. is now eliminating positions instead of creating them. 14 states sue D.O.G.E. over government overreach Elon’s D.O.G.E. isn’t just cutting jobs—it’s also taking control of federal data. Attorneys general from 14 states sued this week, accusing the agency of operating without oversight. The lawsuit, filed in Washington federal court, argues that D.O.G.E. is making decisions only a Senate-confirmed official should be allowed to make. The complaint claims Elon’s team has “virtually unchecked power” and is violating constitutional rules about government agencies. The attorneys general argue that Trump’s executive order didn’t go through Congress, making D.O.G.E. legally questionable. A federal judge ruled in Elon’s favor on Friday, denying an attempt to block D.O.G.E. from accessing government records. Unions and nonprofit groups had filed for a temporary restraining order, trying to stop D.O.G.E. from collecting data from three federal agencies. The Department of Labor, the Department of Health and Human Services, and the Consumer Financial Protection Bureau Judge John Bates, appointed by George W. Bush, said the case was a “close question” but ultimately ruled that D.O.G.E. is an agency. That means it can send its employees to other government offices and access their records under the Economy Act. “The plaintiffs have not shown a substantial likelihood that [D.O.G.E.] is not an agency,” Bates wrote. “If that is so, [D.O.G.E.] may detail its employees to other agencies consistent with the Economy Act.” Federal judge questions D.O.G.E.’s legal structure Elon’s D.O.G.E. was designed to operate outside normal government channels. Instead of answering to the Office of Management and Budget (OMB), it reports directly to Trump’s chief of staff. Judge Bates called that structure “odd,” saying D.O.G.E. had been built to “avoid being an agency,” while still claiming agency privileges when it was convenient. “They took great effort to avoid being an agency, but in this case, you’re an agency,” Bates said. “It just seems to strain credulity.” The ruling gives Elon’s team full access to federal data, and the Justice Department is backing them. Government lawyers argued that D.O.G.E. employees are “detailed” government workers, meaning they have legal rights to see sensitive records. Elon reposted the ruling on X, writing: “LFG.” Concerns over Elon’s access to federal data Union attorneys representing Labor Department workers say D.O.G.E. could now access confidential financial, medical, and employment records. Lawyer Mark Samburg told the court that D.O.G.E. employees could pull data on taxpayer information, employee complaints, workplace safety violations, and medical histories. Some records involve ongoing investigations into Elon’s own companies. Tesla and SpaceX are both under review for workplace issues, and there’s concern that D.O.G.E. could get access to those files. Samburg warned that the ruling could have a “chilling effect” on government whistleblowers. Employees might hesitate to report problems or file complaints if they think D.O.G.E. could access their information. “The sensitive information of millions of people is currently at imminent risk of unlawful disclosure,” Samburg said. Unions and advocacy groups pushed for a temporary restraining order to prevent D.O.G.E. from pulling data until stricter oversight was put in place. Judge Bates denied the request. For now, Elon’s agency moves forward. The IRS terminations will happen next week. The layoffs, the data access, and the lawsuits are all in motion. Cryptopolitan Academy: Are You Making These Web3 Resume Mistakes? - Find Out Here

Russian national Alexander Vinnik, previously convicted for running a multi-billion-dollar money-laundering operation through his BTC-e crypto exchange, has been released in a prisoner exchange between Russia and the United States. In return, Moscow freed American schoolteacher Marc Fogel, who had been detained on drug charges. Vinnik’s Role in BTC-e and Legal Troubles Vinnik operated the BTC-e platform from 2011 to 2017 when he was arrested by police in Greece at the request of American law enforcement agencies. According to the U.S. Justice Department, the exchange processed transactions worth more than $9 billion across six years, much of which was allegedly tied to crimes such as ransomware attacks, drug trafficking, and identity theft. Authorities claim that BTC-e’s lack of anti-money laundering (AML) and Know-Your-Customer (KYC) policies made it attractive to cybercriminals. Vinnik was extradited to France in 2020 and sentenced to five years for money laundering. He was later sent back to Greece before finally being handed over to the Americans in 2022. In May 2024, the Russian pleaded guilty to conspiracy to commit money laundering and faced up to 20 years in prison. During his trial, prosecutors accused Vinnik of facilitating over $120 million in losses and described BTC-e as a “significant cybercrime and online money laundering entity.” Millions of dollars worth of assets belonging to the platform were seized, including $90 million that authorities bagged in New Zealand. Additionally, the U.S. Treasury Department imposed a $120 million fine on the exchange, with Vinnik personally facing a $12 million penalty. A Long-Running Extradition Battle Before his transfer to the U.S., the 45-year-old had been at the center of an international legal battle involving France, Russia, and the United States. While Russia sought his extradition on lesser fraud charges amounting to just $11,000, France and the U.S. pursued him for broader financial crimes. In 2023, his lawyers tried to include him in a U.S.-Russia prisoner swap involving journalist Evan Gershkovich, but it was unsuccessful. His exchange for Fogel, an American teacher detained in Russia, marks a rare moment of cooperation between the two countries, especially coming against the backdrop of the ongoing Ukraine war. Vinnik will have to forfeit tens of millions of dollars in assets as part of the deal. The post BTC-e Operator Released in US-Russia Prisoner Swap appeared first on CryptoPotato.

Brian Armstrong and Tyler Winklevoss have celebrated the defanging of the Consumer Financial Protection Bureau (CFPB) following recent actions taken by the agency’s new leadership. Coinbase has reportedly been the subject of more CFPB complaints than any other exchange. CFPB Chief Orders Shutdown The agency’s newly appointed chief, Russell Vought, selected by President Donald Trump, has ordered the closure of its headquarters and directed staff to stop all supervisory efforts. Winklevoss, CEO of Gemini, responded to the development on X by stating, “CFPB Unplugged,” and sharing an image of a 404 error page from the organization’s website. Coinbase CEO Armstrong referred to the move as a “100% the right call.” He criticized the CFPB, saying it is unconstitutional, and argued that even if it were not, it should be eliminated because fraud prosecution falls under the Department of Justice and other financial regulators. He further accused the watchdog of being an activist organization that had caused significant harm to the country. Vought took on the role of acting director of the agency on Friday. Reports indicate that on Saturday, he issued a notice to staff instructing them to “cease all supervision and examination activity.” In a separate post on X, he confirmed that he had informed the Federal Reserve, which funds the CFPB, that the bureau would not be drawing its next round of funding, stating it was not “reasonably necessary” for its operations. Coinbase Faces More Complaints Than Other Exchanges The CFPB is responsible for supervising consumer-facing financial institutions to prevent unfair, deceptive, and abusive practices. The agency reported in July 2023 that its enforcement efforts had returned $17.5 billion to Americans since its founding in response to the 2008 financial crisis. The document also revealed that over four million complaints had been forwarded to companies on behalf of consumers. Coinbase has been the subject of more such complaints when weighed up against other major exchanges serving U.S. customers. A search of the CFPB’s complaint database shows that over 7,600 mention Coinbase, compared to 487 related to Gemini and 297 linked to Kraken. The exchange’s customer service has been a longstanding source of criticism. Consumers have reported difficulties reaching support, encountering account restrictions, and facing unresolved complaints about lost funds. Blockchain detective ZachXBT recently revealed that Coinbase users have lost over $65 million to social engineering scams since December last year. However, the platform has previously addressed these concerns, explaining that the increase in restricted accounts resulted from a surge in new and reactivated users following recent elections in the U.S. The platform has also assured customers that its fraud prevention systems continue to function as intended. The post CFPB Weakened: Crypto Leaders Applaud as New Leadership Shuts Down Operations appeared first on CryptoPotato.

Alexey Pertsev will be released from prison today under electronic monitoring as he continues to appeal his money laundering conviction linked to Tornado Cash. His release comes after months of unsuccessful bail requests and growing concerns over how the legal system treats privacy-focused crypto developers. Pertsev Plans on Focusing on His Appeal Pertsev confirmed the news in a February 6 post on X: “Dear Friends, on Friday 7 February at 10 am I will be free! It is not real freedom, but it is better than prison,” it said. He explained that a Dutch court had suspended his pretrial detention under electronic monitoring. The Tornado Cash developer added that this would allow him to focus on his appeal and fight for justice. In August 2022, the U.S. Treasury imposed sanctions on the crypto mixer, accusing it of enabling the laundering of over $7 billion since 2019. Pertsev was later arrested in the Netherlands that same month. He was charged with money laundering and facilitating illicit financial transactions through the platform. In May 2024, a Dutch court found him guilty and sentenced him to 64 months in prison. Following his arrest, the Russian national started actively appealing his conviction and asking for bail. Despite multiple attempts, his requests were denied. His defense maintains that he created open-source software and should not be criminalized for its misuse. Debate Over Developer Liability The case has fueled debate over financial privacy and whether software developers should be held liable for how their code is used. Pertsev’s case gained momentum after a U.S. federal appeals court ruled in November 2024 that sanctions against Tornado Cash were unlawful. A January 21 court filing confirmed that the district court judgment had been overturned and sent back for further review. The decision boosted arguments from privacy advocates who claim that developers should not be punished for actions beyond their control. Ethereum co-founder Vitalik Buterin has voiced concern over Pertsev’s prosecution, calling it a troubling precedent for developers. Speaking at a Berlin conference last year, he said, “The situation with Alexey is quite unfortunate.” He added that many believed building software was a legitimate and legal way to protect privacy. Buterin has also made several ETH donations to the 31-year-old’s legal fund through the decentralized fundraising platform Juicebox. The post Alexey Pertsev to Be Released from Prison Today With an Electronic Monitor appeared first on CryptoPotato.