A group of Democratic lawmakers in the U.S. House has just introduced a bill called the Modern Emoluments and Malfeasance Act (MEME Act), aimed at prohibiting senior government officials from issuing or promoting cryptocurrencies, including meme coins. If passed, this law could deal a significant blow to former President Donald Trump, who launched a meme coin worth billions of dollars in January of this year.

Who is the MEME Act targeting?

The bill #MEMEAct prohibits the President, Vice President, members of Congress, senior officials of the executive branch, as well as their spouses and dependent children from participating in the issuance, funding, or promotion of any type of digital asset, including securities, commodities, futures contracts, or cryptocurrencies.

If violated, these individuals will face both civil and criminal penalties. In particular, the bill has retroactive effect, meaning those who have issued or benefited from digital assets before the law is passed will also be prosecuted – this particularly targets Trump and his wife, Melania, as both launched a meme coin earlier this year.

Attack against Trump?

Congressman Sam Liccardo (D-CA), who introduced the bill, criticized Trump for "profiting from the public for personal gain," while warning about the risks of insider trading and foreign influence on the U.S. government through cryptocurrency. He also asserted that the MEME Act would apply to officials promoting third-party coins, as in the case of Congressman Mike Collins (R-GA), who frequently talks about the meme coins he invests in.

The bill has received support from many Democratic lawmakers, including Ro Khanna (D-CA), Eric Swalwell (D-CA), Ted Lieu (D-CA), and over 10 other lawmakers. However, with the Republican Party controlling the House, the chances of this bill passing in the next two years are very low.

Meme Coin and Ethical Issues in Politics

This event occurs against the backdrop of the meme coin market facing severe criticism. The meme coin of #TRUMP once reached a value of $51 billion but has since dropped more than 80%, raising questions about whether politicians are manipulating the market for profit.

Not only in the U.S., but Argentine President Javier Milei was also involved in a similar scandal when promoting the LIBRA token. This coin quickly reached a market capitalization of $4 billion before being "rug pulled," causing investors to lose over $100 million. Milei is currently facing fraud allegations and risks impeachment.

Conclusion

Although the MEME Act may not pass immediately, it reflects growing opposition to politicians using cryptocurrency for profit. With the meme coin market becoming increasingly volatile and controversial, could this be the first step towards tighter regulation of this sector? #anhbacong