Newsom signs law barring California officials from issuing meme coins

Gavin Newsom signed legislation barring California public officials from issuing meme coins. The laws also prohibit companies from listing meme coins that use the likeness or image of a public official. The governor's office described the move as the opposite of what President Donald Trump did with his Official Trump meme coin. The legislation also targets fraud and money laundering. It sets rules for compensating victims of cryptocurrency crimes. It creates a legal process for seizing cryptocurrency assets from transnational criminal networks. Newsom called Trump “the scam” and said he continues to hurt American families. Newsom said California is fighting to make the economy work for people, not the powerful. Newsom said no official should profit from their office. The White House did not immediately respond to a request for comment. Nearly 1 million people lost money on the TRUMP meme coin, with losses totaling $3.8 billion through the end of June. Trump collected $635 million in royalties from the cryptocurrency last year, according to his latest financial disclosure. The TRUMP meme coin reached a market capitalization of nearly $15 billion shortly after launch. Its market capitalization later fell 97% to $584 million as of the article's writing. Negotiations over the CLARITY Act hit a major snag because of Trump's cryptocurrency dealings. A revised provision that would have given state attorneys general direct authority to enforce ethics restrictions on federal officials, including Trump, was added. The provision failed to win Democratic support. The bill fell short of the 60 votes needed to advance. Benzinga Pro data showed TRUMP down 1.20% over the previous 24 hours at $2.07 as of the article's writing.