Dogecoin Fan Mark Cuban Criticizes Trump Meme Coin as Regulatory Setback

Mark Cuban could be among DogecoinShark Tank’s most notable fans, but the Shark Tank star wasn’t too impressed with President Donald Trump’s meme coin launch this weekend.

In a job on X (formerly known as Twitter), Cuban objected to the idea that Trump’s official coin (ASSET) is a long-term positive for the digital assets sector, affirming that the industry will now struggle to legitimize itself after the meme coin’s rocky debut.

Among U.S. lawmakers, pro-crypto politicians have called for regulation to provide the industry with clearer rules of conduct. Bills, such as the Financial Innovation and Technology for the 21st Century Act, or FIT21would likely provide a pathway for digital assets to be certified with regulators if adopted.

FIT21, passed by the House in May last year but still pending in the Senate, aims to more clearly define digital assets in law and place them under the purview of the Commodity Futures Trading Commission. If signed into law, the bill could help clarify the legal gray area in which much of crypto exists, while dispelling a cloud of uncertainty that advocates say is one of the biggest obstacles to the growing involvement of financial institutions.

While Trump is expected to sign a series of executive orders that could in practice achieve the same goals, signed laws – unlike executive orders – cannot be bulldozed by the next commander in chief.

For digital asset regulations to pass both the House of Representatives and the Senate, bipartisan support will likely be necessary. Republicans currently have a one-seat majority in the House, while they need seven Democratic votes to pass most bills in the Senate.

Rather than encouraging lawmakers to change existing securities laws to become more accommodating toward crypto projects that offer tokens to U.S. buyers, Trump’s meme corner has set the standard that investors do not have to need to “understand what they are buying,” Cuban wrote.

“Gary Gensler must be kidding,” he added, referring to the now-defunct SEC chairman and crypto villain. “All the registration requirements just disappeared. »

Trump meme coin launched with 80% of its supply retained by CIC Digital LLC, the same company that facilitated the sale of official Trump NFTs and other merchandise, and Fight Fight Fight LLC. These tokens are expected to be released over the next three years, while the companies behind TRUMP earn revenue from trading fees associated with the tokens.

“This launch is going to make everything the United States does from now on look like a self-serving transaction,” said Eli Cohen, general counsel at Centrifuge, a decentralized finance platform. Decrypt. “There’s obviously an obvious conflict: Will regulators think we’re doing this to help Trump and his coins, or will they look at what the real legislation is?”

Regarding Dogecoin, Cuban laid in 2021, that the meme coin had become “legitimate”, moving beyond its roots as a simple joke. Months ago he I stayed by my side his love for canine crypto, while recognizing that most meme coins are a high-stakes game of musical chairs.

Cuban did not immediately respond to a request for comment from Decrypt.

As one of the fastest growing tokens in crypto, TRUMP’s price hit an all-time high of $73 on Sunday, only to fall quickly once First Lady Melania Trump was elected. spear a coin of its own. As of this writing, TRUMP’s price has fallen 40% over the past day. $40.

“The Law Should Prohibit Elected Officials From Having Coins,” Rep. Ro Khanna (D-CA) wrote on Sunday X, adding that they should be regulated by the SEC like gambling.

Dogecoin’s status as a $53 billion meme coin took years to manifest. But over the years, many projects have sought to replicate the model—trading on vibes rather than fundamentals—now including those backed by the president.

“Obviously the rules around them are a little bit different in terms of blocking and how much is allocated to the market and how much is allocated to insiders,” Cohen said of TRUMP and Dogecoin. “But other than that, I don’t think they’re any different.”