Caitlyn Jenner’s JENNER Memecoin Found Not a Security by Federal Judge

TLDR

• A federal court has dismissed a class-action lawsuit brought against Caitlyn Jenner regarding her JENNER memecoin.
• The presiding judge determined that the cryptocurrency does not qualify as a security under the criteria of the Howey Test.
• The primary plaintiff, Lee Greenfield, alleged financial losses exceeding $40,000 due to his investment.
• The court concluded that the essential legal requirement of a “common enterprise” among investors was absent.
• Remaining claims based on state law have been transferred to the California state court system.

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(SeaPRwire) –   Caitlyn Jenner has been cleared of federal legal liability following the dismissal of a class-action suit that alleged her JENNER memecoin functioned as an unregistered security.

A federal judge ruled Caitlyn Jenner’s $JENNER memecoin is not a security, dismissing a class action lawsuit from a buyer who lost $40K.

The court found the token failed the Howey Test’s “common enterprise” requirement. pic.twitter.com/UGQUs2YYzo

— Token Metrics (@tokenmetricsinc) April 17, 2026

On Thursday, U.S. District Judge Stanley Blumenfeld Jr. issued the decision, stating that the lawsuit failed to demonstrate that the JENNER token met the legal standards to be classified as a security.

The litigation focused on the Howey Test, a legal framework derived from a 1946 Supreme Court ruling. This test dictates that an investment contract requires the pooling of funds into a common enterprise with the expectation of profits derived from the efforts of others.

The judge ruled that the JENNER token failed to satisfy two of the three necessary components of the Howey Test, specifically noting a lack of evidence regarding a “common enterprise” among those who purchased the token.

Lead plaintiff Lee Greenfield, a UK national, claimed he suffered losses of over $40,000 after purchasing the token on the Ethereum and Solana blockchains in May 2024.

Greenfield contended that Jenner leveraged her fame to promote the token, citing an X post that featured an AI-generated image of Jenner wearing a “JENNER ETH” shirt as evidence of her public endorsement.

The lawsuit was initially filed in November 2024 against Jenner and her manager, Sophia Hutchins, who passed away in July 2025.

The amended complaint asserted that investors had pooled their assets based on Jenner’s promises that a 3% transaction fee would support token buybacks, marketing initiatives, donations to Donald Trump’s presidential campaign, and provide fractional ownership of her Olympic gold medal.

Why the Pooling Argument Failed

The court rejected the argument regarding asset pooling, finding that the allegations did not establish that investors had agreed to share in profits and losses or combine resources for any purpose beyond the individual purchase of the coin.

Furthermore, the proposal regarding ownership of the gold medal was introduced in August 2024—after Greenfield had already invested—and was never actually implemented.

The judge also determined that Jenner’s promotional efforts were insufficient to establish a common enterprise on their own.

Background on the JENNER Token

The JENNER token debuted on the Solana blockchain in May 2024 via the Pump.fun platform. The launch became controversial after Jenner and other celebrities alleged they had been defrauded by a collaborator named Sahil Arora.

Following a relaunch of the token on the Ethereum blockchain, investors argued that the move negatively impacted the value of the original Solana-based version.

While the token reached a peak market capitalization of nearly $7.5 million in June 2024, it has since experienced a near-total loss of value.

What Happens Next

The judge denied the plaintiff’s motion to submit a third amended complaint. Claims pertaining to California contract and fraud law have been referred to the state court for further proceedings.