Pump.fun Co-Founder Condemns LIBRA Meme Coin Scandal

Alon Cohen, co-founder of meme coin creation platform Pump.fun, has spoken out against the controversy surrounding the LIBRA token, calling for reforms in the crypto space.

📌 LIBRA’s price surged after Argentine President Javier Milei’s now-deleted post, only to crash 94% as insiders allegedly cashed out with over $100 million.

📌 Hayden Davis, a key trader linked to LIBRA, admits to holding $100 million but claims the funds were meant for reinvestment.

🚨 As legal scrutiny intensifies, Cohen is pushing for greater decentralization and transparency in meme coin creation.

Cohen Calls for Reform in Meme Coin Market

Cohen took to X (formerly Twitter) to express his frustration over the LIBRA debacle, condemning how a select few profited at the expense of retail investors.

“I’m disgusted by the events that transpired over the past days surrounding LIBRA,” Cohen wrote, adding that he hopes those responsible face consequences.

📌 He argued that meme coin creation should be decentralized, automated, and free from manipulation by development teams and market makers.

According to Cohen, the LIBRA scandal highlights flaws in the crypto sector, exposing how easily bad actors can manipulate markets and exploit investors. He also urged insiders with knowledge of misconduct to come forward or message him privately.

Javier Milei Denies LIBRA Promotion Amid Growing Legal Pressure

Despite the fallout, President Javier Milei denies endorsing LIBRA, insisting that he only helped spread the word in good faith.

📌 However, Milei’s Valentine’s Day post on X sent LIBRA’s market cap soaring past $4 billion before insiders allegedly cashed out, wiping out most of the token’s value.

📌 Lawyers in Argentina have since filed complaints with the U.S. Department of Justice and the FBI, calling for a fraud investigation into Milei’s role.

The President’s office later clarified that the government had no official ties to the token, arguing that the public misunderstood his post.

Hayden Davis Admits Holding $100M in LIBRA Funds

Adding to the controversy, crypto trader Hayden Davis admitted to holding more than $100 million from LIBRA’s launch.

📌 Speaking with Barstool Sports founder Dave Portnoy, Davis claimed the funds were meant for reinvestment but the plan fell apart when Milei failed to post a second promotional video.

🚨 Davis is now facing mounting scrutiny, fearing for his safety, and calling the LIBRA collapse “a plan gone miserably wrong.”

Conclusion: Will LIBRA’s Fallout Lead to Crypto Market Reforms?

📌 Alon Cohen calls for a decentralized approach to meme coin creation after LIBRA’s collapse.
📌 Javier Milei denies endorsing LIBRA but faces legal scrutiny over his involvement.
📌 Hayden Davis admits holding $100M in LIBRA funds but claims mismanagement, not fraud.
📌 As the crypto world reacts, will regulatory pressure force greater transparency in meme coin markets?

🚀 With ongoing investigations and investor losses mounting, the LIBRA scandal could serve as a turning point for crypto regulation.