Meme Coin Circus Rolls On

In 2024, Memes coins became one of the most negotiated and discussed aspects of the cryptocurrency sector. Critics argue that they give the industry a bad image. Others enjoy game emotions and sometimes hallucinating returns. If the United States government intervenes to regulate this controversial industry, what will the result be like?

When the cryptographic sector obtained the nickname “Wild West”, Memes coins were guilty. Thousands of new tokens are created daily through platforms such as Pump.fun. Investors, a mixture of retail merchants, experts in encryption, influential people and, sometimes, institutional players hope to obtain an unlikely Jackpot award.

Meme Coin opponents also blame space for being a distraction of the highest quality projects throughout the cryptographic sector. For example, the prior launch to the Trump official token initiative (Trump) exemplifies this trend.

“The cryptographic sector put someone in power whose first act is to emphasize and take the opportunity to be rupture within cryptography,” Angela Walch, a cryptographic researcher, <a target="_blank" href="https://time.com/7209169/trump-meme-coins-crypto/” target=”_blank” rel=”nofollow”>said Time. “And that is simply shameful.”

The Malejo de las Coins and Memes policy is not exclusive to the United States in Argentina, President Javier Milei promoted the Token Libra, which rose to $ 4.50 before strucking down.

Like Lyn Alden, the founder of Lyn Alden Investment Strategy, expressed it in January: “The same bearish accounts (traditional finance) that dismissed bitcoin due to ICO, defi and unrelated nfts, now they will discard it due to meme coins.”

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Democrats speak

On February 27 he was marked with two important events in the Memes Coins space. First, the United States Stock Exchange and Securities Commission (SEC) said that securities regulations will not adhere to Meme currencies.

Secondly, the proposal of the Democratic Memes Law aims to prevent US officials from throwing their own memes currencies, as Trump did before the inauguration. Are these events contradictory, and are so problematic of memes currencies? We are going to break it down.

Trump's official launch was controversial. Some saw it as a bold signal of the then elected president who was ready to hug the cryptography. However, many in the cryptographic community booed the movement as a shameless “jar” considering that the price fell into value in just a few days.

The New York Times<a target="_blank" href="https://www.nytimes.com/2025/02/09/us/politics/trump-crypto-memecoin.html” target=”_blank” rel=”nofollow”> names $ 2 billion lost collectively for more than 800,000 people who invested in La Moneda Trump.

Another important criticism was that Trump's official token could align Trump's pockets. Foreign political actors can brib it effortlessly by buying Trump to Granel (Trump signed a Executive order Freezing control of the Law of Foreign Corrupt Practices).

Several Democratic representatives are talking. California Democratic Representative Sam Liccardo, presented the bill aimed at preventing US officials from creating tokens. Liccardo emphasized that Trump Memes currency “raises concerns about transparency, internal trade and inadequate foreign influence.”

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The bill, which will be called modern emoluments and embezzlement application, or Meme actNow there is now just as draft. The law is scheduled to block Potus, the members of Congress and other senior officials and members of their families by launching cryptocurrencies.

More than that, the bill will prevent them from issuing or sponsoring both values ​​and basic products. The profits generated by Trump through the Trump official token must be unfortunate.

Although Liccardo does not believe that the House of Representatives controlled by the Republicans supports the bill now, he believes that Trump's cult “will begin to degrade and more republicans will become against him. The same week, it was learned that the Trump family will create a brand metaverso that will include the nft market.

Was Gensler's SEC too easy with meme coins?

Critics of cryptographic policies of the Biden era share a point of view that the SC led by Gary Gensler deliberately ignored coins of harmful memes while hunting legitimate cryptographic marks such as Ripple and Coinbase.

This theory suggests that government agencies did not pursue the prosperous meme coin market, since it served as a man of command to turn people against cryptocurrencies per se. People were investing in memes coins and losing money. He was creating a favorable background for SEC and served as a good excuse to suppress legitimate cryptography projects.

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SEC remains away, but warns about volatility

While the SEC of the Gensler era was criticized by the constant equalization of cryptocurrencies for unregistered values, effectively prohibiting them, the SEC of the Hester Peirce era, which has been seen, refused to pass it when more than $ 2 billion deviated from more than 810,000 wallets with official Trump.

Peirce indicated that the SEC is not responsible for dealing with meme coins, since they are not classified as values.

On February 27, the SEC clarified its position when governing that Meme coins are not values and more similar to collectibles. Therefore, it cannot be regulated by the SEC and the people who launched meme coins do not have to register them as values.

The statement warns about the significant volatility of the market price of memes currencies, noting that this discharge of responsibility is generally present in the descriptions of memes currencies. This decision gives the green light to create even more meme coins in the future.

Although the new SEC continues to regulate the meme coins space, there are signs of crisis in the sector. One of the main centers of the MEME 2024 Coin Revolution was Pump.fun, a Solana -based launch that acts an IMGFLIP (a platform known for creating memes and GIFs) for crypto.

Tokens created in the pump. Fun have dropped 80%. Some attribute this decrease to the controversial fall in the pound currency. However, the tariff war that affects the price of btc can be another powerful factor.

Memes currencies are often compared to events such as an ico or a nft boom, which means that the dust will settle and that the market will be emphasized.

Vitalik Buterin said the disadvantages of the ICO era were addressed through the defi solutions. The meme coins market can also mature.

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