Democrats Introduce Bill to Ban Memecoin Profits for Presidents and Top Officials

House Democrats are taking aim at President Donald Trump’s memecoin. Leading the charge is California Representative Sam Liccardo, who announced plans to introduce the Modern Emoluments and Malfeasance Enforcement Act, or MEME Act. The legislation seeks to curb what Liccardo and his supporters describe as a troubling trend of federal officials profiting from personal financial ventures, spotlighting the president’s recently launched digital asset as a prime example.

The $TRUMP coin, unveiled in January just before Trump’s inauguration, arrived with significant fanfare. Promoted as part of the president’s vision to position the United States as the "crypto capital of the planet," the coin initially drew enthusiasm from supporters and investors. A similar cryptocurrency tied to First Lady Melania Trump debuted a week later, adding to the buzz. However, the excitement was short-lived. Within weeks, the value of $TRUMP plummeted as early investors sold off their holdings, leaving hundreds of thousands of buyers reeling from losses and erasing billions in market value. The swift decline has caught the attention of lawmakers across party lines, though Democrats are now the first to propose a legislative response.

Liccardo, a former prosecutor with experience at both federal and local levels, told ABC News that the MEME Act would bar the president, vice president, members of Congress, senior executive branch officials, and their immediate families from issuing, endorsing, or profiting from securities, commodities, or digital assets like memecoins. The proposal aims to close what he sees as a loophole allowing public officials to exploit their positions for financial gain. Citing the Trumps’ involvement with their respective cryptocurrencies, Liccardo argued that such ventures not only enrich the officials and their early backers but also raise concerns about insider trading and potential foreign influence over the executive branch.

A Legislative Push Amid Political Realities

While the MEME Act carries a strong message, its path to becoming law faces steep challenges. With Republicans holding majorities in both the House and Senate for at least the next two years, the legislation is unlikely to advance in the near term. Undeterred, Liccardo expressed confidence in building momentum among Democrats, with a dozen colleagues already signed on as cosponsors. He framed the effort as a long-term strategy, hoping to rally support that could gain traction under a future Democratic majority. “Let’s make corruption criminal again,” Liccardo declared, emphasizing that public offices should serve the people, not the personal fortunes of those who hold them.

The proposed law doesn’t stop at cryptocurrencies. It would extend to a broad range of financial assets, including stocks like those of Truth Social, the social media platform associated with Trump. Violators could face both criminal and civil penalties, and the legislation includes a retroactive clause targeting profits from assets issued before its enactment—a clear nod to the $TRUMP coin’s rocky debut. Liccardo stressed that the measure is about accountability, not partisanship, though the focus on Trump’s cryptocurrency has already sparked sharp reactions from the president’s allies.