Judge says Caitlyn Jenner’s JENNER memecoin is not a security in class action lawsuit

A California judge has ruled that the $JENNER memecoin, launched by Caitlyn Jenner, does not qualify as a security. The decision comes after a class action lawsuit filed by Lee Greenfield, who claimed he lost over $40,000 and argued that Jenner used her celebrity status to promote the token as an unregistered security.

U.S. District Judge Stanley Blumenfeld, Jr. applied the Howey Test to determine if the token was an "investment contract." While the judge acknowledged that money was invested, he concluded that there was no "common enterprise," as the plaintiff failed to prove that investors pooled resources or agreed to split profits and losses. Consequently, the court found that the legal requirements for a security were not met, though non-federal claims may still be resolved in state court.

(Source：The Block)