Support for cryptocurrencies from US President Donald Trump or Argentine leader Javier Milei has seen investors lose billions of dollars and is damaging a sector struggling for credibility, researchers told AFP.

"The entire crypto industry is being tarnished," said Claire Balva, strategy director for fintech company Deblock.

Argentine prosecutors are reportedly examining whether Milei engaged in fraud or criminal association, or was in breach of his duties, when he praised the $LIBRA cryptocurrency on social media in February.

The token's value soared from just a few cents to almost $5 and then crashed. Milei deleted his blessing hours later.

He denies all allegations made against him.

"I did not promote it," Milei told broadcaster TN in February, adding it "is a problem between private parties because the State does not play a role here".

"I acted in good faith," he said.

The price collapsed after a handful of early investors decided to sell at a huge profit, causing colossal losses for the majority of........

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