California Bans Public Officials from Launching Memecoins Linked to Politicians

California Governor Gavin Newsom has signed a bill into law that bans public officials from promoting memecoins in the state. The move is seen as a direct rebuke of US President Donald Trump, who has been criticized for his involvement in crypto projects.

The new law aims to combat corruption and protect consumers by making it illegal for public officials to shill memecoins that use a public official's likeness or image. Newsom claims that Trump's memecoins have left nearly 1 million people with losses of around US$3 billion, while the President pocketed around US$636 million.

The bill introduces broader crypto regulations and creates a path for victims to recover their losses. It also gives authorities the power to seize digital assets linked to international criminal networks.