California Governor Newsom Signs Meme Coin Regulation Law
California Governor Gavin Newsom has signed legislation aimed at regulating meme coins linked to public officials. According to Assembly Bill 2409, public officers and employees in California are prohibited from issuing meme coins. The law also restricts digital asset service providers from listing certain tokens associated with public officials for sale to California residents.
The new rules were introduced by Assemblymember Avelino Valencia and give the California attorney general, district attorneys, city attorneys, and county counsel authority to enforce the prohibitions through civil actions. Newsom's office framed the measure as part of an effort to increase accountability among public officials.
Alongside the meme coin restrictions, other legislation was signed targeting cryptocurrency-related financial crime. Senate Bill 1208 addresses money laundering involving digital assets, and clearer rules are established to help victims recover funds following cryptocurrency fraud.