A new bill is making its way through the US Congress, in a bid to stop politicians from launching their own cryptocurrency coins. This move comes after many investors lost money big-time on the TRUMP meme coin, which is associated with US President Donald Trump. The coin’s wild ride has made people wonder if politicians should be allowed to create and promote these kinds of financial assets.

The Rise And Fall Of TRUMP Coin

Last month, the TRUMP meme coin and another coin linked to Melania Trump became instant sensations. Both quickly hit huge milestones, boasting multi-billion-dollar valuations just hours after they debuted.

But the excitement didn’t last. The price of TRUMP coin took a nosedive. It fell more than 80% from its highest point. Many people who bought the coin ended up losing a lot of money. This situation has caught the attention of regulators and finance officials.

HOUSE DEMOCRATS INTRODUCE MEME ACT TO BAN OFFICIALS FROM PROMOTING CRYPTO MEME COINS

– In response to President Donald Trump’s recent launch of a meme coin, House Democrats have introduced the Modern Emoluments and Malfeasance Enforcement (MEME) Act.

– This legislation aims to… pic.twitter.com/cu4gM2o9wY

— BSCN (@BSCNews) February 27, 2025

A New Law Called The MEME Act

California Rep. Sam Liccardo is leading the charge with a new bill. It’s called the MEME Act, which stands for Modern Emoluments and Malfeasance Enforcement Act. The idea is simple: stop the President, Vice President, members of Congress, high-ranking government officials, and their families from endorsing, issuing, or sponsoring financial assets, including meme coins.

Liccardo believes that the Trump family took advantage of their political position to make money off these cryptocurrencies. He argues that they used their influence for personal gain. The goal of this law is to keep federal officials from profiting from digital assets. This includes things like stocks or cryptocurrencies. This is important because it could create conflicts of interest or open the door to corruption.

Worries About Trading And Foreign Influence

Liccardo is concerned about the possibility of insider trading. Also, he is worried about foreign influence over US politics. Cryptocurrencies have a global reach, which makes them vulnerable. The MEME Act is designed to prevent federal officials from using their positions to profit from these assets, thus keeping their interests aligned with the public good.

For example, if a politician knows about upcoming regulations that could affect the price of a cryptocurrency, they could use that information to make a profit before the public knows. This is unfair and erodes trust in government.

What’s Next For The Bill?

The MEME Act faces a tough road ahead. Republicans currently control both the House and the Senate. This means it will be difficult for the bill to gain support. However, Liccardo is determined to keep pushing the bill forward. He hopes to get wider support if Democrats gain a majority in the future.

Featured image from Pexels, chart from TradingView

The Shiba Inu price captured noteworthy investor attention on Saturday, surging 6% in the background of the crypto market recovery. Intriguingly, the price surge comes alongside a whopping 389 million SHIB token burn in February, per recent burn metrics. As an upshot, market watchers anticipate that a breakout for the meme coin looms, with analysts also forecasting the same.

Shiba Inu Price Bullish Amid Massive 389M Burn

As of press time, Shiba Inu price pumped nearly 6% and exchanged hands at $0.00001393. The leading meme coin bottomed and topped at $0.00001301 and $0.00001412 in the past 24 hours. While this bullish action fell in line with the broader crypto market’s recent recovery-like trend, it’s worth taking into account the massive token burn.

According to metrics revealed by the official tracker Shibburn on March 1, a staggering 389.18 million tokens were burnt the previous month, February. This surge in the burn rate indicates that the meme coin’s circulating supply is further shredded.

In turn, market watchers remain bullish about the asset’s future performance, abiding by the law of supply and demand. For context, the burn mechanism sends tokens to a null address, permanently removing them from the supply. As a result, the circulating supply diminished and totaled 584.32 trillion, with the massive burn rate surge constantly dealing blows to it.

How Much SHIB Burnt To Date?

Shibburn’s statistics indicated that a staggering 410.72 trillion coins have been removed from the supply to date. Intraday data revealed that 14 million coins were burnt. As a result, market watchers continue to weigh optimism over Shiba Inu price’s long-term performance.

SHIB ETF Speculations Build Up

On the other hand, SHIB marketing lead Lucie took to X on February 27, stating, “Wen SHIB ETF?” This statement has set off waves of speculations across the broader market as meme coin-backed ETPs have been in the trends lately.

Notably, dog-themed meme crypto Dogecoin has secured a vital milestone in this field. CoinGape reported that Grayscale Investments, CoinShares, and WisdomTree have submitted applications for DOGE ETF approval. The U.S. SEC acknowledged Grayscale’s filing, with approval odds gaining substantial weight in recent days.

This broader development has fueled hope for other meme coin-backed ETFs, such as a potential SHIB ETF. Shiba Inu’s price could substantially leverage this, given the market sees such a feat ahead.

Market Analyst Forecasts Bullish Outlook For SHIB Price If Buyers Step In

Simultaneously, renowned analyst ‘Rose Premium Signals’ posted on X, spotlighting the crucial support of $0.00001461 for SHIB price. As per the analyst, if buyers step in now, the meme coin could see a bullish movement toward the resistance of $0.00002941 and $0.00003738.

Further, the highly bullish target remains $0.00004401, per the analyst. Overall, traders and investors extensively eye the token amid a recovery-like trend and token burns, The constant SHIB burns continue to bolster the crypto’s tokenomics, urging the price to move upwards.

✓ Share:

Coingape Staff

CoinGape comprises an experienced team of native content writers and editors working round the clock to cover news globally and present news as a fact rather than an opinion. CoinGape writers and reporters contributed to this article.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.