Chris Murphy (D-CT) Introduces MEME Act Targeting Political Profits from Meme Coins

A new bill introduced by U.S. Senator Chris Murphy (D-CT) aims to target financial misconduct by high-ranking federal officials involving digital assets, aiming to prevent corrupt federal officials from using their position to profit off digital assets such as meme coins, his office announced on Tuesday.

The Modern Emoluments and Malfeasance Enforcement (MEME) Act was presented in Washington as a response to what Murphy described as glaring corruption tied to meme coins like TRUMP.

The legislation seeks "to prevent corrupt federal officials from using their position to profit off digital assets such as meme coins," a statement from his office said. Representative Sam Liccardo (D-CA) submitted matching legislation in the U.S. House of Representatives.

The bill was prompted by the controversial rollout of TRUMP, the meme coin launched by Donald Trump just three days before his inauguration on Jan. 17. Initially priced at a few cents, the token rose sharply after its launch, with Trump and his family set to earn more than $100 million from trading fees.

"Each time the coin is released and traded, Trump makes money from trading fees, and he and his family have made more than $100 million from these fees," Murphy stated.

"There is no way to know who is buying the coin, which leaves the door wide open for billionaires, Russian oligarchs, and Saudi princes to secretly purchase TRUMP and directly enrich the president in order to curry favor."

The senator noted that the controversy heated up further with the announcement of a campaign promising exclusive White House access to top coin holders, which led to a 50% surge in the token's value and generated nearly $900,000 in trading fees for Trump's team in just two days.

"This is the perfect example of how a corrupt president can use a meme coin to enrich himself and his family while accepting bribes from foreign powers," Murphy added.

The MEME Act would impose broad restrictions on asset-related financial activity for top federal officials, aiming to prevent abuse of their position for personal gain.

The announcement describes: "The MEME Act would prohibit the President, Vice President, Members of Congress, senior Executive Branch officials, and their spouses and dependent children from issuing, sponsoring, or endorsing a security, future, commodity, or digital asset. After the asset's issuance, the proposal would bar federal officials from engaging in the promotion or other conduct likely to benefit themselves financially. The legislation subjects violators to criminal and civil penalties."

This proposal is likely to contribute to the ongoing debate over ethics, transparency, and financial regulation in the cryptocurrency domain, especially as such assets continue to gain traction in political circles.