The cryptocurrency world faces another shocking development as Hayden Davis, the controversial figure behind the Libra memecoin, has reportedly died. According to multiple sources, Davis died from a self-inflicted gunshot wound to the chest. Authorities continue to investigate the circumstances surrounding his death.
How It Unfolded
The 28-year-old Texan stood at the centre of a massive crypto controversy that erupted last week. This was the Libra memecoin’s collapse that wiped out approximately $600 million in investor funds. The project initially gained massive traction after receiving an endorsement from Argentina’s President Javier Milei.
Following Milei’s promotion, the token’s value skyrocketed. However, Davis then withdrew approximately $100 million from the liquidity pool. Following this, the token’s value plummeted, triggering widespread accusations of fraud. Milei subsequently deleted all social media posts promoting the token.
From Texas to Crypto Infamy
Davis, a native of Plano, Texas, built his career in cryptocurrency after studying business at Liberty University. Moreover, he positioned himself as CEO of Kelsier Ventures, a self-described “web3 innovation” firm based in Los Angeles. His involvement extended beyond Libra, as he previously helped launch Melania Trump’s memecoin in January.
That project similarly experienced dramatic volatility. Initially, Melania’s token reached a $2 billion valuation shortly after launch. Nevertheless, it crashed by 75% within 24 hours, erasing approximately $1.6 billion in value.
The Controversial “Sniping” Strategy
In recent interviews, Davis defended his actions by explaining his approach to “sniping” – a controversial crypto strategy. He claimed to protect tokens from external snipers who might purchase large percentages immediately after launch.
“Our goal was to take enough liquidity off to get all the snipers out,” Davis explained in an interview with Barstool Sports founder Dave Portnoy. Furthermore, he insisted he never intended to keep the funds permanently. “I’m just custodying money that should be for the government or the country of Argentina.”
Final Days Shrouded in Controversy
Reports suggest Davis’s final days involved significant financial activity. Sources claim he spent $40 million on content creator Sophie Rain’s under the alias “Charley.” Subsequently, authorities reportedly seized funds linked to the Libra token from Rain’s account.
These allegations add another layer to the already complex story. Meanwhile, legal scrutiny intensified as Davis reportedly hired a white-collar defence attorney in Argentina. A federal judge in Argentina continues to investigate Milei’s connections to the project.
Broader Implications for the Memecoin Market
The Libra scandal represents a pivotal moment for the $3.3 trillion cryptocurrency market, especially the memecoin sector. Previously, these tokens were often viewed as amusing side projects. Now, they increasingly symbolise the industry’s controversial aspects.
Davis had ambitious plans beyond Libra. “This was an experiment. There were much bigger things happening in the background. Tokenising a country,” he stated in one of his final interviews. Therefore, his death raises questions about unrealised crypto projects.
Despite the controversy, Davis maintained he wasn’t motivated by immediate financial gain. “I’ve made some money. I’m 28, I have objectives that are way past 28,” he insisted. Yet, questions remain about who instructed him to withdraw the liquidity that crashed the token.
In conclusion, this tragic development highlights the volatile nature of cryptocurrency investments. As investigations continue, investors and regulators alike will undoubtedly scrutinise memecoin projects with greater caution. The incident may accelerate calls for stronger regulatory oversight in the rapidly evolving crypto landscape.
Written By Fazal Ul Vahab C H
