Federal Judge Jennifer Rochon lifted a temporary restraining order on nearly $58 million in USDC that were linked to the proceedings of the sale of Libra, a token made prominent by Argentina’s President Javier Milei promoting it on social media.
Libra Funds Unlocked: Federal Judge Opens $58M for Transacting
The class-action lawsuit by affected entities targets the parties behind Libra, a token announced to help Argentine producers raise funds. Federal Judge Jennifer Rochon lifted a temporary restraining order (TRO) on funds linked to the token launch proceedings, allowing the controlling parties to move nearly $58 million in USDC that had been frozen.
The move also returns control of 500 million Libra tokens to Hayden Davis, CEO of Kelsier Ventures, who could use them to improve his legal standing in Argentina, where he is also under investigation.
Justifying her move, Rochon argued:
It is plain that money damages would be available to compensate the putative class. Plaintiffs have not made a sufficient showing of irreparable harm.
Rochon added that she remained skeptical about the possibility of plaintiffs successfully ending this case.
Davis’s party celebrated this, stating that the case was baseless. After receiving the news, Mazin Sbaiti, one of Davis’s attorneys, declared:
Despite the plaintiffs having had the opportunity to present all their evidence, they provided none demonstrating that our client did anything wrong or caused any losses. Tuesday’s hearing and decision reveal the true nature of this case.
The recovered Libra tokens might have value for Davis, as analysts estimate that sending them to a wallet in Argentina would show his willingness to collaborate with local authorities. Nonetheless, the real value of Libra is close to zero, even with the recent increase that these tokens experienced due to this decision. According to local sources, over 75,000 people were affected by this launch.
The probe in Argentina is still ongoing, with recent developments indicating that investigations were focused on determining the real identity and whereabouts of Julian Peh, CEO of KIP Protocol, allegedly linked to the launch of Libra.
Read more: Argentina Fails to Find Key Actor Linked to Libra Memecoin Launch
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