California Bans Public Officials from Issuing Memecoins Based on Their Likeness

California Governor Gavin Newsom has signed legislation aimed at restricting how elected leaders can leverage cryptocurrency for personal gain. The new rules prohibit public officials from issuing memecoins, a type of cryptocurrency based on online jokes, trends or celebrities. According to reports, about a million investors lost an alleged $3.8 billion on their purchases of the Trump memecoin in 2025.

The governor's office pointed out that no official should profit off their office, and the new rule is intended to ensure it doesn't happen in California. The bill also prohibits companies from creating a memecoin using 'the likeness or image' of a public official.