California Politicians Banned from Launching Meme Coins
California has become the first US state to ban its politicians from launching meme coins. Governor Gavin Newsom signed Assembly Bill 2409, which prohibits public officials from issuing tokens associated with internet memes, characters, current events, or trends.
The law defines a meme coin as a digital asset whose value comes mainly from public interest, speculation, or community engagement rather than a working product. It covers state and local elected or appointed officers, as well as public employees with decision-making power over bids and contracts.
However, this is not a blanket ban on meme coins. Retail traders in California can continue to buy Dogecoin and other existing tokens. The restriction only applies to politicians issuing tokens off the back of their position.
The second part of the law targets platforms, restricting digital asset service providers from listing or selling new meme coins issued by public officials after January 1, 2027. Existing tokens are exempt from this rule.