Governor Gavin Newsom signed Assembly Bill 2409 on September 27, 2026, prohibiting public officials from creating, issuing, or promoting meme coins. The legislation applies to state and local elected officials, legislators, advisory board members, and public employees with contracting authority.
The bill received unanimous support, passing 40-0 in the Senate and 78-0 in the Assembly. It was originally introduced by Assemblymember Avelino Valencia on February 20, 2026.
The law also restricts digital asset service providers, such as exchanges and trading platforms, from listing any meme coins associated with public officials. Compliance processes must be established to screen for such tokens.
Enforcement of the law is strictly civil. The California Attorney General and local district attorneys are authorized to seek injunctions and the disgorgement of profits, but the legislation does not include criminal penalties.
The regulations will officially take effect on January 1, 2027. The bill is designed as a forward-looking framework and does not target specific existing tokens or projects.
