Dave Portnoy returned 6M Libra tokens over disclosure request

Dave Portnoy, founder of Barstool Sports, disclosed he returned 6 million Libra (CRYPTO:LIBRA) tokens to the project's founder, Hayden Davis.

Portnoy received the tokens as compensation for promoting the project but returned them after Davis asked him not to disclose the payment.

During a Feb. 16 X Spaces event, Portnoy stated he received approximately 6 million to 6.5 million tokens and also purchased Libra tokens.

"I can't accept coins if you don't f***ing let me say you gave me coins, and I'm part of the project. So, I literally sent the coins back," Portnoy told Davis.

Portnoy kept the Libra tokens he bought, which later significantly decreased in value.

The Solana-based (CRYPTO:SOL) memecoin LIBRA experienced a dramatic collapse, with its market capitalisation plummeting from $4.5 billion to $200 million.

Portnoy believes Davis didn't intentionally rug-pull investors, suggesting Argentine President Javier Milei's unexpected backtracking caused complications.

The LIBRA token was initially promoted on Javier Milei's official X account, raising concerns about manipulation.

Davis defended his actions and announced he would use funds collected from "fees, farming, everything" to buy back and burn the token.

Milei's team assured Davis of continuous support during the LIBRA issuance, but Milei deleted his tweet without prior notice.

The Argentine presidential office released a statement explaining that Milei met with KIP Protocol representatives in October 2024, who introduced the 'Viva la Libertad' project.

Viva la Libertad was pitched as a project to fund small businesses in Argentina, featuring the Libra token.

After the token's price crashed by over 95%, Milei distanced himself from the project, claiming limited knowledge.

Milei now faces potential impeachment due to his promotion and the token's collapse.