Solana Falls Sharply Due to Scandal of Argentine President Javier Milei

Solana (SOL) has experienced a sharp decline amid a controversy involving Argentine President Javier Milei and a memecoin launched on the blockchain.

Key Takeaways: – Solana dropped to its lowest since November when Argentine President Javier Milei faced fraud allegations linked to the LIBRA token. – On March 1, 11.2 million SOL tokens worth $2.06 billion will be unlocked from FTX’s liquidation, potentially increasing selling pressure.

The SOL cryptocurrency fell 5.7% over the past 24 hours, reaching $168.04. This is the token’s lowest point since early November.

Milei is now facing fraud allegations after endorsing and later distancing himself from the LIBRA token, which has been linked to accusations of insider trading.

Blockchain analysts have also identified potential ties between the creators of LIBRA and those behind MELANIA, a memecoin associated with U.S. First Lady Melania Trump.

1/ How $LIBRA was created by the same team behind MELANIA and other short-lived coins

Featuring new onchain evidence

A thread with Coffeezilla 🧵 ↓ pic.twitter.com/gNwj97KapF

— Bubblemaps (@bubblemaps) February 17, 2025

However, the memecoin turmoil is not the only factor influencing Solana’s downturn. On March 1, a significant supply of SOL—11.2 million tokens worth approximately $2.06 billion—is scheduled to be unlocked. This stems from the liquidation of FTX’s assets following its collapse in November 2021.

FTX 破产拍卖的 1120 万枚 $SOL 将在 03/01 解锁，价值 20.6 亿美金🚨

FTX 曾在三次拍卖中出售 4100 万枚 SOL，TOP3 买家和拍卖价格如下

1️⃣Galaxy：$64 买入 2552 万枚，回报率 187%
2️⃣Pantera 及其他买家：$95 买入 1367 万枚，回报率 93%
3️⃣Figure 及其他买家：$102 买入 180 万枚，回报率 80% https://t.co/iPhqiR715C pic.twitter.com/sNvxXspz0S

— Ai 姨 (@ai_9684xtpa) February 17, 2025

The SOL tokens were acquired at heavily discounted prices during auctions held as part of FTX’s estate liquidation, and firms that purchased them will soon have the opportunity to sell.

Despite these short-term setbacks, some analysts maintain a bullish long-term outlook for Solana. Asset management firm VanEck has forecasted that the cryptocurrency could surge to $520 by the end of 2025.

Meanwhile, Solana’s ecosystem has achieved notable milestones. The blockchain recently completed a full year without experiencing an outage, marking a significant improvement from previous years when network disruptions were a recurring issue.

Disclaimer: The information on this website is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency markets are volatile, and investing involves risk. Always do your own research and consult a financial advisor.