Libra-Linked Wallets Withdraw $4 Million and Invest in Solana Amid Ongoing Fraud Investigations
Two Libra-linked wallets, Defcy and 61yKS, recently withdrew nearly $4 million in liquidity from LIBRA and used the proceeds to purchase 456,401 SOL tokens on Solana, spending approximately $61.59 million USDC, with each SOL costing about $135.
Prior to this, the Libra Deployer held about $13 million USDC, while one Libra wallet controlled roughly $44 million USDC as of Monday, according to data.
These movements come amid asset freezes and ongoing fraud investigations in both the United States and Argentina. Authorities are tracking transfers across multiple blockchain platforms including Arbitrum, Avalanche, and Solana.
Earlier insider activity involved at least eight insider wallets cashing out around $107 million during Libra's collapse, contributing to a market-cap wipeout of roughly $4 billion within hours.
In the US, Judge Jennifer Rochon froze $57.6 million in USDC in May as part of a class-action lawsuit against Kelsier Ventures and three co-founders; these funds were unfrozen in August.
In Argentina, Judge Marcelo Martínez de Giorgi ordered the freezing of over $507,000 linked to Davis and two regional operators on November 11, 2025. Prosecutors estimate investor losses at between $100 million and $120 million, alleging the existence of a "financial den" used to convert cryptocurrency into fiat currency.
A transfer of $507,500 via Bitget took place 42 minutes after a selfie post featuring Milei and Davis, which has been flagged as potential indirect payments to officials through intermediaries.
Analysts note that both ongoing transfers and past insider behavior are consistent with a pattern involving rapid token launches, strong hype, followed by swift liquidity extraction. Milei's prior endorsement helped Libra reach a peak valuation of about $4.5 billion before it crashed by over 94%.
