What implications does Trump’s release of Meme coin have on cryptocurrency regulation?

Author: Vince Quill, CoinTelegraph; Compiler: Bai Shui, Golden Finance

On January 17, President-elect Trump launched a meme coin, aptly named Official Trump (TRUMP) — to mixed reviews from lawyers, with some arguing that the token marked a positive shift in U.S. regulation. Others warn it violates the constitution.

In a written statement, Consensys attorney Bill Hughes described the incoming Trump administration as "a sea change." The lawyer pointed out:

“They don’t want other countries to dictate how this space changes the internet, commerce and investment, but they want a regulatory structure that allows for creation and experimentation here. They want growth and see cryptocurrencies as a way for America to achieve that growth Way."

Hughes added that while the incoming Trump administration encourages innovation and experimentation, he does not believe the incoming administration will repeal all cryptocurrency regulations.

“The law enforcement and national security issues that existed under the previous administration will also exist in the Trump administration,” Consensys lawyers said.

Source: President Trump

Lawyer questions legality of president-elect issuing currency

Attorney David Lesperance pointed out that the president-elect 's launch of the Meme coin violated the provisions of the U.S. Constitution designed to prevent foreign countries from influencing U.S. government officials. Lesperance explains:

“In the past, President-elect Trump’s launch of his meme coin, TRUMP, would have been viewed as a clear example of a violation of the Foreign Emoluments Clause of Article I, Section 9, Section 8 of the U.S. Constitution.”

" Given that TRUMP can easily be purchased by foreign individuals or governments, this appears to be a violation of this provision," the attorneys said.

However, it remains to be seen whether incoming U.S. Attorney General Pam Bondi will take enforcement action against Trump or Meme, Lesperance added.

Trump Meme Coin Sparks Trading Frenzy

The Solana-based meme coin was launched during The Crypto Ball, a black-tie event in Washington, D.C., the weekend before Trump's inauguration on January 20.

Traders were initially skeptical of the token, as there are many unofficial imitators out there – including one by Martin Shkreli, whose token is DJT.

However, the Trump family later confirmed the authenticity of Meme Coin - which drove up the price of the token.

Trump Price Action. Source: TradingView