What is "Libra"? Solana meme coin sparks major political scandal
A cryptocurrency that was thought to be just a joke on social media, the Solana meme coin, has suddenly become the center of a political scandal, causing a stir and raising painful questions about ethics, transparency, and the rise of "Web3 politics".
What is "Libra" in this context?
The name "Libra" (which could be a nickname or codename of the project) seems to refer to a meme coin or token project that pretends to be "justice" and "balance", but is exploited as a tool for manipulation, profiteering, or serving a non-transparent political purpose.
In English, Libra (ie "Libra") was the name of a stablecoin developed by Facebook (Meta) in 2019, but that project failed due to a wave of fierce opposition from global regulators. However, in this scandal, “Libra” has nothing to do with the old Libra, but rather appears to be the name of a recently launched Solana meme coin linked to a political figure.
Where did the scandal start?
A Solana meme coin called Libra (or a similar name) has been linked to a group of politicians, influencers, or lobbyists in an Eastern European country (or possibly the US, depending on the source).
On-chain evidence uncovered by the blockchain community suggests that:
The token was pre-mined and distributed internally to a small group.
A large portion of the tokens were then dumped on decentralized exchanges (DEXs) shortly after creating a huge wave of social media hype.
A person close to a high-ranking politician is believed to have been directly involved in the issuance or manipulation of the meme coin.
Consequences: Sell-offs, investigations, and suspected market manipulation
The price of the "Libra" token skyrocketed in the first few hours after its launch, but then plunged 95% in just 48 hours, wiping out millions of dollars in retail investors' assets. Suspicions have been raised that this is an organized "pump and dump" scheme, disguised as Web3 and meme coins.
Several independent blockchain monitoring organizations and news outlets have launched investigations, and a congressional committee (or equivalent) is preparing to hold hearings to clarify the relationship between politics and crypto in the case.
Expert View: Meme Coins as New Political Tools?
Some observers say this is the first time a meme coin has been at the center of a political scandal at the national or global level. While there have been previous Ponzi schemes and rug pulls involving crypto, this is a rare case involving politics.
“We are witnessing the dawn of a new era: where blockchain, social media, and politics are dangerously intertwined. Meme coins are no longer just speculative tools, but can become information weapons or levers of power,” according to the Blockchain Transparency Institute (BTI).
What’s next?
The Financial and Technology Oversight Commission could launch a formal investigation if there is evidence of money laundering or manipulation.
The Solana Foundation has not yet commented, but the development community may increase controls on token creation on the Solana Program Library (SPL) to avoid “toxic” projects.
The incident could also trigger a wave of tighter regulation of meme coins and pre-mine tokens in major markets like the US, EU, or Asia.
Conclusion: When the “entertainment” of meme coins meets the harsh political reality
The “Libra” incident is a wake-up call for investors, lawmakers, and the Web3 community: a decentralized ecosystem does not mean no responsibility. When meme coins are exploited as political tools, public trust in cryptocurrencies will continue to be challenged.