Gavin Newsom Bans Public Officials From Issuing Memecoins

Governor Gavin Newsom signed Assembly Bill 2409 on September 28, 2026, prohibiting state and local public officials in California from issuing memecoins. The law, introduced by Assembly Member Avelino Valencia, also bars digital asset service providers from offering memecoins issued by or in partnership with federal, state, or local officials to California residents. These restrictions take effect for tokens issued on or after January 1, 2027.

Newsom stated that "no official should profit off their office" and specifically criticized cryptocurrency ventures launched by U.S. President Donald Trump. Enforcement of the ban will be handled through civil actions filed by the state attorney general, district attorneys, city attorneys, or county counsel.

Alongside the memecoin ban, Newsom signed Senate Bill 1208. This legislation expands state money laundering statutes to include digital asset transactions and provides law enforcement with broader authority to freeze and seize digital assets linked to criminal activity.