Recently, an Argentine federal court has ordered the freezing of 25 cryptocurrency wallets linked to the ongoing $LIBRA investigation. This move aims to identify the individuals behind these wallets as authorities seek to bolster their case against the troubled project.
Federal Judge Marcelo Martínez de Giorgi issued the directive after examining a report from the Argentine Federal Police concerning cybercrime. This report detailed the reconstruction of cryptocurrency movements from May 2025, tracing millions across various blockchain networks connected to the $LIBRA project.
The court's order mandates that exchanges provide extensive customer information including KYC records, transaction histories, IP addresses, and any other relevant data that could help identify involved parties. This expansive request highlights the focus on centralized cryptocurrency platforms as key sources of data for the investigation.
Among the 25 wallets identified, many are suspected to have processed funds from the creators after the initial launch attempt in February 2025 failed. Although the authorities have imposed asset freezes on these wallets, it remains unclear whether they still contain the funds in question.
Tracing of Funds and Transactions
The police report outlined the activity from eight wallets known as the Libra Team, linking them directly to the token's inception and subsequent financial maneuvers after its market collapse. Four of these wallets funneled assets into another wallet identified as 61yk, which has faced restrictions for almost six months due to a U.S. District Court order relating to actions against token creator Hayden Davis.
Upon the lift of this freeze, investigators tracked the wallet's transfers through various blockchain networks, utilizing a method known as digital smurfing to conceal transaction flows. For example, they followed a transfer of 498,539 USDT to the Tron network, which was later divided into 17 smaller transactions sent to multiple destinations.
The report also indicated that the investigation has traced at least ten transactions through Binance, further illustrating the complexity of the financial movements involved in the $LIBRA case. This ongoing probe continues to unravel the tangled web of cryptocurrency activity associated with the ill-fated token project.
The information provided in this article is for informational purposes only and should not be considered as financial advice.
