According to a report by Decrypt, meme coins in 2024 are mostly driven by community takeovers, with hundreds of millions of dollars in projects such as Billy and Gigachad being taken over by early investors after developers pulled out. Legal experts have warned that community takeover teams can face legal risks such as misleading marketing, fraudulent trade practices and even criminal misrepresentation. Charlyn Ho, founder of Rikka Law, said teams need to clarify project goals and avoid false claims or risk legal liability.