Governor Newsom signs California crypto rules

• Governor Gavin Newsom signed legislation restricting California public officials from issuing meme coins.
• The package also targets crypto fraud, money laundering and digital asset seizures.
• The measures add new restrictions around public officials and cryptocurrency activity in California.

Governor Gavin Newsom signed Assembly Bill 2409, restricting California public officials from issuing meme coins.

The legislation also prevents companies from listing meme coins using a public official’s likeness or image.

“No official should profit off their office — and we’re putting stronger protections in place to ensure it doesn’t happen in our state,” Governor Gavin Newsom said Sunday, referring to President Donald Trump’s 2025 memecoin launch.

The package also establishes restitution guidelines for victims of cryptocurrency scams and fraud.

California additionally created a legal process for seizing crypto assets linked to transnational criminal networks.

The broader legislation includes Senate Bill 1208, which addresses money laundering involving digital assets.

The measures build on earlier California rules requiring certain officials to disclose cryptocurrency and other digital financial assets.

The initiative marks a direct shift toward tighter state oversight of public officials’ cryptocurrency activity.