Trump Proposes U.S. Sovereign Wealth Fund to Acquire TikTok

News 12 Feb 2025

President Donald Trump introduced the concept of forming a U.S. sovereign wealth fund to acquire the popular social media network TikTok.Users throughout America will get continued access to the application under this new security-focused plan for national security protection.

President Trump issued an executive order on February 3, 2025, to create a new U.S. sovereign wealth fund, as nations like China and Saudi Arabia already operate with similar funds. National surplus funds are usually directed toward investing in bonds, real estate, and stock markets. The U.S. fund plans to dedicate its investments toward national gain through projects concerning infrastructure development and technological advancements.

President Trump announced that TikTok would be part of this new fund. He also suggested that the forthcoming money from this deal be put into a wealth fund. As President Trump stated during the press conference, we would consider forming a partnership with wealthy individuals. We are putting the TikTok purchase into the new fund.

Due to its ownership by ByteDance, a Chinese company, TikTok faces ongoing data and national security issues. The app’s short-lived U.S. outage occurred in January 2025. Before this point, President Trump stated his commitment to facilitating a TikTok operation sale to American businesses. A number of companies, including Microsoft and Oracle, have discussed acquiring TikTok operations.

The plan that proposes establishing a wealth fund to buy TikTok stands to establish a fresh approach to global business operations with these security issues; however, current governmental approvals make the trans combined challenging to achieve.

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