"Trump's Meme Coin Under Fire: Democrats Push MEME Act to Ban Officials' Digital Assets"

The TRUMP meme coin, launched by former President Donald Trump, has come under fire from House Democrats who are pushing for the Modern Emoluments and Malfeasance Enforcement (MEME) Act. The proposed legislation aims to ban public officials, including the President, Vice President, members of Congress, and their families, from issuing, sponsoring, or endorsing digital assets, securities, and commodities, such as the TRUMP meme token.

The MEME Act is a response to growing concerns about potential conflicts of interest and exploitation related to officials promoting or profiting from meme coins. House Democrats argue that public officials should not use their positions for personal financial gain through such ventures. The bill would impose criminal and civil penalties and includes a retroactive element targeting assets issued before the bill's enactment. It would also cover other financial assets, including Truth Social stock.

Trump's TRUMP coin, launched just ahead of his inauguration, initially gained significant market traction. The token hit a market valuation of $13 billion in over a day and continued to rise in the following days. However, it subsequently experienced a sharp decline, leaving many investors with substantial losses. At press time, TRUMP traded at around $12, down 82% from its peak.

Concerns have been raised about transparency, insider trading, and foreign influence in relation to the TRUMP coin. Even some Trump-supporting crypto enthusiasts have expressed ethical concerns about the launch. Representative Sam Liccardo, the sponsor of the MEME Act, stated, "Let’s make corruption criminal again. Our public offices belong to the public, not the officeholders, nor should they leverage their political authority for financial gain. The Trumps’ issuance of meme coins financially exploits the public for personal gain, and raises the specter of insider trading and foreign influence over the Executive Branch."

The MEME Act, if passed, would force the President to return any profits made from the meme coin and allow investors to sue public officials if they lose money on a meme coin backed by them. However, given the current political landscape in the House of Representatives, the chances of Democratic-sponsored legislation passing are slim. Liccardo's proposed legislation has twelve Democratic cosponsors but faces an uphill battle in the Republican-controlled House.