Newsom signs California ban on public officials issuing memecoins

The law also restricts crypto companies from offering certain memecoins tied to public officials to California residents and takes effect for tokens issued from Jan. 1, 2027.California Governor Gavin Newsom signed legislation barring state and local public officials from issuing memecoins, as Newsom criticized US President Donald Trump’s crypto ventures. Newsom on Sunday signed Assembly Bill 2409, introduced by Assembly Member Avelino Valencia on Feb. 20, 2026. The law also prohibits digital asset service providers from offering certain memecoins issued by or in partnership with federal, state or local public officials to California residents and applies to tokens issued on or after Jan. 1, 2027. “No official should profit off their office — and we’re putting stronger protections in place to ensure it doesn’t happen in our state,” Newsom said Sunday as he slammed Trump’s launch of a memecoin in 2025. 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. It also authorizes California’s attorney general, a district...