Newsom Signs Law Banning Public Officials from Issuing Crypto Meme Coins in California

California Governor Gavin Newsom has signed into law new restrictions on public officials issuing crypto meme coins. AB 2409, which took effect September 27, bars Covered California public officers and certain government employees from directly issuing these digital assets.

The new law also limits digital asset service providers from listing new official-linked coins for California residents. This restriction applies to coins issued by or in partnership with federal public officials, state or local public officers, legislators, or members of government boards or commissions.

The law defines a meme coin as a digital asset tied mainly to themes such as internet memes, public figures, fictional characters, current events, or social trends. Its value is primarily derived from public interest, speculation, or community engagement.