Trump's Memecoin Sparks Legal Concerns: Anti-Bribery Laws in Focus

The launch of the Official Trump (TRUMP) memecoin by President Donald Trump has sparked controversy and raised concerns about potential violations of anti-bribery laws. The progressive think tank, Public Citizen, has written a letter to the U.S. Department of Justice (DOJ) and the Office of Government Ethics, urging them to investigate the legality of the memecoin.

The TRUMP memecoin, launched in mid-January, has rapidly gained value and is now the 41st-largest digital asset by market cap. However, Public Citizen officials argue that the memecoins are not intended to be investments or securities, but rather a means for individuals to send money to Trump without receiving any tangible product in return. This, they claim, could be a violation of federal law regulating gifts to government officials.

Public Citizen officials also point out that the Constitution (Article 1, Section 9) forbids accepting money or anything of value from any "king, prince, or foreign state." Given the nature of cryptocurrency exchanges, it is difficult to determine whether foreign state actors are gifting the president by purchasing a TRUMP meme.

Public Citizen is not the only organization to question the merit of assets like TRUMP. Ethereum (ETH) founder Vitalik Buterin has previously stated that political coins could serve as "vehicles for unlimited political bribery," although he did not mention any specific token by name.

The DOJ and the Office of Government Ethics have not yet responded to Public Citizen's letter, and it remains to be seen whether an investigation will be launched. As the TRUMP memecoin continues to gain traction, the potential legal implications will likely remain a topic of discussion and debate.