Nikolas Sargeant
A new bill introduced by House Democrats aims to prohibit public officials from issuing or profiting from memecoins like President Donald Trump’s controversial TRUMP token. California Representative Sam Liccardo, who is preparing to introduce the Modern Emoluments and Malfeasance Enforcement (MEME) Act, stated that the bill would restrict elected officials and their families from endorsing or issuing digital assets. The proposed legislation seeks to eliminate conflicts of interest and prevent corruption by preventing politicians from using their positions for financial gain through digital currencies.
The MEME Act would cover a broad range of public figures, including the President, Vice President, members of Congress, senior executive branch officials, and their families. The bill, which has already garnered support from a dozen Democratic sponsors, addresses concerns that public figures are exploiting their political positions to issue memecoins for profit, raising issues like insider trading and undue foreign influence. Though it remains unclear if this would cover any of Trump’s NFT collections.
Liccardo emphasized the importance of maintaining public office integrity and argued that officials should not use their political influence to create financial benefits for themselves. His statement highlights how the issuance of memecoins, particularly those linked to political figures, could undermine public trust in elected officials and open the door to questionable financial practices. Indeed, Senator Elizabeth Warren has called out TRUMP for being a scheme and calling for a federal investigation.
The proposal is gaining traction and could lead to broader legislative action. As the cryptocurrency space continues to evolve, the MEME Act represents a push for regulation aimed at addressing emerging risks linked to digital asset transactions by public officials. The bill, expected to be introduced on February 27, could mark a turning point in the U.S. government's approach to cryptocurrency oversight.
