TikTok Denies $300 Million Trump Coin Purchase Allegation

TikTok has vehemently denied allegations made by U.S. Congressman Brad Sherman that the company was involved in a $300 million purchase of the TRUMP memecoin. The official TikTok Policy X account described the claim as “patently false and irresponsible,” emphasizing that the accusation was not only inaccurate but also misleading.

The dispute arose after President Trump signed a third executive order extending the deadline for TikTok’s U.S. divestiture to September 17, 2025. Congressman Sherman argued that the law permits the President to extend TikTok’s operation in the U.S. only once, and thus, Trump’s failure to ban the social media company is illegal. Sherman further accused the President of receiving a bribe from TikTok, alleging that the President creates Trump Coins at no cost, which qualifies the acclaimed $300 million TRUMP purchase by TikTok as a bribe.

It is important to note that the latest extension marks the third postponement of TikTok’s deadline to leave the U.S. Online reports suggest that this extension provides the Chinese firm with an opportunity to find a local buyer to take over the company or face a ban in the U.S.

Sherman’s allegation referred to a planned Trump Coin purchase by GD Culture Group, a Nasdaq-listed entity with no formal links to TikTok. Although the firm produces AI-enhanced content on TikTok, there are no official connections between its planned TRUMP purchase and the Chinese social media giant.

Sherman’s allegation has sparked mixed reactions among members of the public. Many X users refuted the Congressman’s claims, expressing doubts about the ability to create cryptocurrency at no cost.

This incident highlights the ongoing tensions between the U.S. government and TikTok, as well as the broader issues surrounding the regulation of social media platforms and cryptocurrencies. The denial by TikTok underscores the importance of accurate information and responsible reporting in the face of complex and sensitive issues.