Alon Cohen, co-founder of the meme coin platform Pump.fun, has voiced strong opposition to the controversy surrounding LIBRA, a token associated with Argentine President Javier Milei. As the situation unfolds, President Milei has denied endorsing the token despite previously promoting it. The incident has highlighted the need for regulatory reforms in the crypto sector.

Cohen expressed his frustration with the LIBRA situation via social media, highlighting how a few individuals profited at the expense of everyday investors. He emphasized the necessity for meme coin creation to be decentralized and free from the control of development teams or market makers. This, he believes, would create an equitable environment for all investors and prevent exploitation.

Cohen pointed out that the LIBRA controversy reveals significant vulnerabilities in the cryptocurrency sector, demonstrating how easily markets can be manipulated by unscrupulous actors. He urged anyone with insights into malpractices related to the LIBRA launch to step forward, even encouraging direct messages on his social media account.

Cohen's statements come amidst President Milei's denials of promoting LIBRA. In a media interview, the president claimed his previous social media post was simply to spread awareness of the project rather than endorse it directly. This post had caused LIBRA’s market capitalization to soar past $4 billion. However, after the initial surge, significant insider withdrawals deflated the token's value drastically, raising further questions.

Despite Milei's explanations, Argentine legal entities have filed complaints with U.S. authorities, demanding an investigation into potential fraud. The government's office has clarified that the president’s actions were misconstrued and that they hold no official connection to the token.

Adding further complexity to the issue, trader Hayden Davis, who claims involvement with the LIBRA project, admitted to holding over $100 million from its launch. In an interaction with Barstool Sports founder Dave Portnoy, Davis explained that the funds were supposed to be reinvested. The failure to proceed arose when Milei did not release a subsequent promotional video, leading to stalled plans.

Davis now faces intense scrutiny, fearing for his safety, and describes the entire episode as a "plan gone miserably wrong."

Cohen's criticism and demand for accountability in meme coin projects highlight the broader challenges in the crypto landscape. As the LIBRA saga continues, it underscores the importance of establishing transparent and fair practices within the industry to protect all investors.