California Bans Public Officials from Issuing Meme Coins Starting 2027

California Governor Gavin Newsom has signed AB 2409 into law, prohibiting public officials from issuing meme coins tied to their official positions starting January 1, 2027. The bill defines public officers as state and local elected or appointed officials, state legislators, and members of government boards, commissions, and committees.

The employee provision is more limited, covering state or local government employees with decision-making authority over bids and contracts. Digital asset providers serving California residents will also be restricted from listing meme coins issued on or after January 1, 2027, if they are offered by, or in partnership with, a federal public official or California state or local public officer.

Newsom linked the legislation to President Donald Trump's involvement with the Official Trump meme coin and other crypto businesses. The governor's office cited reporting that nearly one million TRUMP buyers had collectively lost over $3 billion while Trump earned hundreds of millions of dollars connected to the token.