Argentine Lawyer Seeks Interpol Red Notice for Memecoin Creator Hayden Mark Davis Amid Political Fallout
An Argentine lawyer has formally requested Interpol to issue a "Red Notice" for the arrest of Hayden Mark Davis, a U.S. citizen and the individual behind the creation of the $LIBRA memecoin, a cryptocurrency that has ignited a storm of controversy in Argentina. The request underscores the severity of the situation, as Argentine authorities are deeply interested in bringing Davis to Argentina to face potential charges related to the tumultuous launch and subsequent collapse of the memecoin.
The case has taken on significant political dimensions, as Argentine President Javier Milei had publicly promoted $LIBRA alongside Davis. The memecoin’s dramatic rise and fall resulted in substantial financial losses for numerous investors. Now, Milei faces potential impeachment proceedings, and Davis is confronting the possibility of extradition to Argentina to answer for his role in the $LIBRA saga.
Gregorio Dalbón, the lawyer representing those affected by the memecoin’s crash, submitted the request to Interpol this week, arguing that Davis presents a significant flight risk. Dalbón contends that the 28-year-old crypto entrepreneur possesses the financial resources and the inclination to evade justice.
"The possibility that Davis will abandon his country of residence or hide to avoid answering for his alleged acts appears to be aggravated by the economic resources he possesses, which he can use to move or remain in hiding, hindering our investigation," Dalbón stated in court documents.
A Red Notice serves as an international arrest warrant. If Interpol grants the request, it would authorize law enforcement agencies in the United States to arrest Davis and facilitate his extradition to Argentina to face legal proceedings.
Davis’s involvement in the $LIBRA memecoin began when he created the cryptocurrency and persuaded Milei to promote it on Valentine’s Day. The memecoin’s value experienced a meteoric rise, reaching a market capitalization of $4.5 billion. However, its ascent was short-lived, as it subsequently crashed dramatically, plummeting to a mere $18 million. The collapse resulted in losses of approximately $250 million for over 10,000 investors.
Davis reportedly sold his holdings prior to the crash, allegedly pocketing $100 million in profit.
$LIBRA was not Davis’s first venture into the realm of pump-and-dump memecoin schemes. Earlier, in January, following the launch of former President Donald Trump’s $TRUMP memecoin, Davis introduced $MELANIA, a memecoin that caused considerable confusion among investors. Many initially believed that former First Lady Melania Trump had launched her own cryptocurrency, mirroring her husband’s venture. However, it was later revealed that Davis was the mastermind behind $MELANIA. Similar to $LIBRA, $MELANIA experienced a surge in value followed by a precipitous crash, leaving investors with significant losses.
Davis and Milei maintained an open and public relationship. The President of Argentina shared photos of himself posing with Davis on social media platforms, and Davis frequently discussed their relationship on various podcasts. A report from CoinDesk alleged that Davis boasted about his influence over Milei.
"I control that n—," Davis reportedly said in a text message. "I send $$ to his sister and he signs whatever I say and does what I want."
Davis’s behavior has earned him a reputation within the crypto community. Days after Milei promoted $LIBRA, entrepreneur Steven Enamakel recounted an incident on social media involving Davis sticking him with a substantial sushi bill.
Enamakel stated that Davis invited him to Nobu in Los Angeles to discuss a potential NFT collection launch. "Hayden ordered almost everything that was super expensive in the menu," Enamakel said. "When the food came, I never saw a person eat so much sushi so quickly. I wondered if it was humanly possible to consume that much sushi but there it happened right there in front of me."
When the bill arrived, Davis allegedly hid in the bathroom. Enamakel waited for approximately 20 minutes before ultimately paying the bill himself, as it was growing late. Upon Enamakel’s payment, Davis emerged from the bathroom, promising to cover the next meal. "After that he then went ahead [and] screwed up my NTF launch," Enamakel said.
The Argentine investigation into $LIBRA was launched shortly after Milei’s promotion of the memecoin. The investigation is exploring the possibility of a conspiracy between Milei and Davis to commit fraud. Davis could face charges including bribery and influence peddling if the investigation produces sufficient evidence.
The situation highlights the risks associated with memecoins and the potential for influential figures to be drawn into questionable ventures. The request for an Interpol Red Notice signifies the Argentine government’s seriousness in pursuing Davis and holding him accountable for his role in the $LIBRA saga. The case also raises questions about the ethical responsibilities of public figures who promote cryptocurrencies, particularly when such promotions may lead to financial harm for investors. The entanglement of a nation’s leader with a crypto scheme adds a layer of complexity, threatening the standing of said leader. The outcome of the investigation and any subsequent legal proceedings will likely have significant implications for both Davis and Milei, as well as for the broader cryptocurrency landscape in Argentina. The potential extradition of Davis and the possible impeachment of Milei represent a high-stakes scenario with far-reaching consequences.
