Dave Portnoy Returns 6 Million Libra Tokens Amid Controversy Surrounding the Project’s Collapse

Dave Portnoy, the founder of Barstool Sports, recently shared that he returned 6 million Libra (LIBRA) tokens to the project’s founder, Hayden Davis, after an agreement to promote the cryptocurrency. The disclosure came during a February 16th X Spaces event, where Portnoy revealed details surrounding the token and the project’s subsequent collapse.

Portnoy explained that he had received between 6 and 6.5 million Libra tokens as compensation for endorsing the project on social media. However, the arrangement took a turn when Davis asked Portnoy not to disclose that he had been compensated in tokens. In response, Portnoy said he refused to keep the Libra tokens under these conditions, stating: “I can’t accept coins if you don’t fucking let me say you gave me coins, and I’m part of the project.” True to his word, Portnoy returned the coins to Davis, ensuring that no one would assume his promotion was without compensation. This all took place before the project began unraveling and well before Portnoy realized the gravity of the situation.

While Portnoy returned the tokens he was paid, he kept the Libra tokens he had purchased with his own funds. Unfortunately, those tokens later plummeted in value, mirroring the collapse of the project itself.

Despite witnessing the steep decline of Libra, Portnoy maintained contact with Davis throughout the process, claiming that he didn’t get "bad vibes" from the young tech entrepreneur. In fact, he suggested that Davis didn’t intentionally "rug-pull" investors, speculating that the crisis may have been influenced by external factors, such as Argentine President Javier Milei’s sudden backtracking on the project.

The Rise and Fall of Libra

Libra, a cryptocurrency associated with Argentina’s Viva la Libertad project, was marketed as an initiative designed to funnel funds to small businesses and startups in Argentina. Initially, the project gained attention when President Javier Milei endorsed it in a now-deleted X post. However, what seemed like a promising venture quickly turned disastrous as the value of the Libra token plummeted by over 95%. This crash wiped out approximately $107 million in liquidity, leading to widespread allegations of an insider rug-pull.

In the aftermath, Milei distanced himself from the project, claiming that he was largely unaware of the specifics before promoting the token. This sudden reversal sparked criticism, with political opponents accusing the populist leader of neglect and dishonesty. Given the massive financial loss and the backlash from the public, Milei is now facing the possibility of impeachment. If opposition parties succeed in mounting an impeachment case, Milei could be forced to resign from his post as president of Argentina.

The unfolding events surrounding Libra and its connection to Milei’s administration have raised questions about the intersection of politics and cryptocurrency. For now, it remains to be seen whether Portnoy’s involvement and return of the tokens will have any lasting impact on the controversy surrounding the failed project.