Burwick Law Files Lawsuit Against Entities Tied to LIBRA Memecoin Launch

Burwick Law, a law firm specializing in litigation cases around cryptocurrencies, has filed a lawsuit in the Supreme Court of New York against several companies involved in the launch of the LIBRA memecoin, claiming they misled investors and caused substantial financial losses. The legal action targets Kelsier Ventures, KIP Protocol, and Meteora, accusing them of manipulating the token’s launch for insider profits while leaving regular investors with heavy losses.

Tonight, our firm filed a class action complaint in the Supreme Court of New York on behalf of our client. We allege that Kelsier, KIP, Meteora, and related parties orchestrated an unfair token launch ($LIBRA), allegedly misleading purchasers and harming retail investors. pic.twitter.com/H7dD2LaARK

— Burwick Law (@BurwickLaw) March 18, 2025

What Went Wrong with LIBRA?

The lawsuit alleges that the LIBRA memecoin launch was carried out deceptively and unfairly. The token’s creator initially held 85% of the total supply, implying that insiders could easily manipulate the digital asset’s price at face value. According to Burwick Law, the companies behind the project created a one-sided liquidity pool that artificially inflated the token’s price. This setup allowed insiders to make massive profits before the price suddenly crashed.

LIBRA’s market value plunged by 94% within hours of its release, wiping out over $107 million from investors’ funds. Many who bought the token early were left with near-worthless holdings, while insiders allegedly walked away with millions.

The LIBRA memecoin crash has also sparked political controversy, especially in Argentina, where President Javier Milei was linked to the project. Milei had promoted LIBRA to attract attention to crypto assets in the country. However, several fraud complaints were filed against him after the token’s collapse. Some politicians even called for his impeachment, accusing him of misleading the public.

Meanwhile, if Burwick Law wins the case, the companies behind LIBRA could face serious legal consequences. If found guilty, these entities may have to compensate investors.

As the lawsuit progresses, it could lead to a closer look at how cryptocurrency tokens are launched. The case could set an example for future legal actions, possibly bringing stricter rules and more accountability for companies in the crypto industry in the future.