TikTok Denies $300 Million Trump Memecoin Purchase Amid Executive Order

TikTok has publicly refuted allegations that it purchased $300 million worth of TRUMP memecoins to influence US President Donald Trump. The company issued a statement on June 19, labeling the accusation as “false and irresponsible” and aimed at misrepresenting its actions. This denial came in response to comments made by US Congressman Brad Sherman, who suggested that ByteDance, TikTok’s parent company, had bought a significant amount of TRUMP tokens, characterizing the alleged transaction as a direct bribe to President Trump.

Sherman argued that since Trump created the token at no cost, any purchases would directly benefit him financially. TikTok, however, dismissed Sherman’s claims, stating that his interpretation of a recent letter was misleading. The company emphasized that no such transaction had occurred and described the allegations as baseless. The timing of these accusations coincides with a new Executive Order from President Trump, which grants TikTok an additional 90 days to finalize the sale of its US operations or face a nationwide ban.

Critics have questioned the legal grounds for extending the deadline, citing the initial law passed by Congress that allowed for only one extension. Beyond the controversy surrounding TikTok, the TRUMP memecoin itself is under scrutiny. The token, promoted by the Trump family, has raised concerns about conflicts of interest. Critics warn that a president with direct or indirect ties to digital assets could face serious questions about ethics, transparency, and foreign influence.

Several US lawmakers and nonprofit watchdogs have expressed concern over the potential misuse of political office for personal financial gain, especially through tokens with no clear use case or underlying value. The TRUMP memecoin continues to trade far from its all-time high and faces consistent sell pressure. As of the latest information, it was trading around $9.43, down significantly from its January all-time high of $44.28.

This controversy highlights the complex interplay between technology, politics, and ethics in the digital age. The allegations against TikTok and the scrutiny of the TRUMP memecoin underscore the need for transparency and accountability in the use of digital assets, particularly when they involve high-profile political figures. The situation also raises questions about the regulatory framework governing digital currencies and their potential impact on political processes.