Some Democratic lawmakers are taking a stand against politicians cashing in on crypto by pushing a new bill that would ban public officials from launching or profiting off meme coins.
Backed by a group of House Democrats, the Modern Emoluments and Malfeasance Enforcement (MEME) Act, is being led by California Representative Sam Liccardo.
What is the MEME Act?
Speaking to ABC News, Liccardo explained that the bill aims to stop public officials such as the president, vice president, Congress members, senior executive branch officials, and their families from issuing, endorsing, or profiting from cryptocurrencies, securities, or commodities.
The move comes after President Donald Trump and his wife, Melania Trump, launched their own meme coins in January, days before he returned to the White House.
Both tokens quickly pulled in a flood of retail money, sending TRUMP’s market cap soaring past $15 billion, while MELANIA hit $10 billion shortly after launch.
However, since then, both tokens have crashed. TRUMP is currently down over 82%, and MELANIA has slipped over 93% from its highs, leaving investors with massive losses.
The MEME Act is one of the first legislative efforts to regulate meme coins, a rapidly growing but legally murky part of the crypto market.
Liccardo disclosed that a dozen Democratic sponsors are working to gain bipartisan support for the legislation.
“Let’s make corruption criminal again,” Liccardo remarked, adding that the bill is all about cracking down on politicians cashing in on their positions.
He argued that public offices belong to the people, not politicians looking to profit off their influence.
Before the MEME Act can become law, it has to go through a long legislative process.
First, the bill will be introduced in the House of Representatives, where it will be assigned to a committee—likely one focused on financial services or government ethics.
Lawmakers will then review the proposal before deciding whether to send it to the full House for a vote.
If it clears the House, the bill moves to the Senate, where it faces another round of debates, committee reviews, and votes.
If both chambers pass the same version of the bill, it goes to the president’s desk.
The president can then sign it into law or veto it. If vetoed, Congress would need a two-thirds majority in both houses to override the decision.
Liccardo wants the bill to carry both criminal and civil penalties for violators. He’s set to formally introduce the MEME Act in the House of Representatives on February 27.
Meme coins under the radar
Earlier this month, Senator Cortez Masto introduced a separate proposal that also targets meme coins.
Cortez proposed an amendment to S. Con. Res. 7 in a bid to block federal employees and officials from issuing, promoting, or profiting from meme coins that have ties to the Chinese communist party.
Although not as broad as the MEME Act, Masto’s proposal highlights that the meme coin sector has become an important area of interest in Washington.
On the other hand, Republican lawmakers are taking a different approach, with their key focus currently on supporting the broader crypto industry in line with Trump’s campaign promises.
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