Public Citizen requires DOJ probe into Trump’s memecoin promotion

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Public Citizen requires DOJ probe into Trump’s memecoin promotion


A authorities suppose tank has urged the Division of Justice and the US Workplace of Authorities Ethics to research whether or not former President Donald Trump violated federal legal guidelines prohibiting authorities officers from soliciting presents.

The grievance, filed by Public Citizen on Feb. 5, facilities on Trump’s promotion of the Official Trump Memecoin (TRUMP) launched final month.

Ethics issues

The group’s letter, addressed to John Keller, chief of the DOJ’s Public Integrity Part, and David Huitema, director of the Workplace of Authorities Ethics, argues that Trump’s advertising and marketing of the meme could represent illegal present solicitation underneath 18 U.S.C. § 201 and 5 C.F.R. § 2635.

“Federal legislation strictly regulates funds to authorities officers, together with presents. Though the president could obtain presents, he could not solicit them.”

Public Citizen claimed that Trump’s promotion of TRUMP following its launch in January constitutes an illegal solicitation of presents as a result of it supplies no tangible product or funding alternative in return for the funds obtained.

In response to the web site, the meme is basically owned by CIC Digital LLC, an affiliate of The Trump Group, which is totally managed by the Donald J. Trump Revocable Belief.

The positioning describes the meme as a celebration of Trump’s resilience following an assassination try on July 13, 2024, and characterizes the asset as “a bit of historical past” somewhat than an funding.

Nonetheless, Public Citizen contends that the memecoin doesn’t represent a services or products however somewhat a direct monetary profit to Trump, evaluating it to a private donation somewhat than a standard buy.

In response to the grievance:

“An individual sending cash for a Trump Meme isn’t buying a tangible product. As a substitute, the particular person receives solely a digital receipt, which is analogous to a donor sending a examine and receiving digital affirmation.”

Overseas affect

The suppose tank additional raised issues that international entities might be amongst these buying the meme, doubtlessly violating the Structure’s Emoluments Clause, which prohibits federal officers from accepting presents or funds from international governments with out congressional approval.

Public Citizen argued that if such solicitations are allowed to proceed unchecked, they may create a precedent for politicians to solicit funds in ways in which circumvent federal ethics legal guidelines and marketing campaign finance rules.

Some crypto analysts and former Trump allies have criticized the initiative. Former White Home communications director Anthony Scaramucci likened it to “Idi Amin-level corruption,” whereas a Washington Put up columnist dismissed it as a “sh—coin.”

Public Citizen urged the DOJ and OGE to find out whether or not Trump’s actions violate federal legislation and, if that’s the case, to advocate acceptable treatments, together with halting meme gross sales and returning funds to patrons.

The DOJ and OGE haven’t publicly responded to the grievance. Trump’s marketing campaign has additionally not issued an announcement relating to the allegations.

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