California Governor Newsom Bans Public Officials from Issuing Memecoins

California Governor Gavin Newsom has signed legislation that prohibits state and local public officials from issuing memecoins. The law, known as Assembly Bill 2409, also bars digital asset service providers from offering certain memecoins to California residents if they are issued by or in partnership with federal, state, or local public officials. This applies to tokens created on or after January 1, 2027.

Newson criticized US President Donald Trump's crypto ventures, saying 'No official should profit off their office, and we're putting stronger protections in place to ensure it doesn't happen in our state.'

The existing California law already prohibits state officers and employees from engaging in employment activity or enterprise that is inconsistent with their duties. AB 2409 adds a ban on issuing memecoins to the Government Code.