Forbes: Trump's Launch of Meme Coin Sparks Major Legal Controversy

BlockBeats News, January 20th, Forbes published a column discussing the Trump meme coin issuance event. Forbes stated that Trump's issuance of a meme coin could potentially trigger a constitutional crisis.

The report mentioned that despite the incoming SEC chairman's potential introduction of a crypto-friendly policy, the underlying legal principles remain unchanged, and the personalities and policy preferences of SEC leaders cannot override established securities laws. The Howey Test by the Supreme Court has been the cornerstone of securities regulation for 75 years, unaffected by individual government and political appointments. While the SEC's enforcement priorities may shift under new leadership, its obligation to apply the Howey Test as the legal definition for assessing investment schemes remains absolutely unchanged. This enduring framework for evaluating investment plans is independent of any chairman's cryptocurrency-friendly stance or industry relationships.

The report highlighted that the launch of the TRUMP meme coin exposed a fundamental tension in contemporary American politics. While Trump positioned himself as a proponent of the cryptocurrency industry and pledged to make the U.S. the "global cryptocurrency capital," the structure and timing of his own digital token project suggest a worrisome fusion of personal enrichment and political power. With token ownership concentrated in companies associated with Trump, coupled with the timing of the issuance just before the inauguration, it raised questions: Does this truly represent support for cryptocurrency innovation, or is it merely a clever attempt to further monetize the presidency?