- TikTok publicly refuted claims by U.S. Representative Brad Sherman that its Chinese owners purchased $300 million in “Official Trump” ($TRUMP) memecoin.
- Tiktok has called the allegations “false and irresponsible” in a statement on X.
- Sherman advocates for strict regulation and a potential ban, while the Trump administration supports digital currencies like the U.S.-dollar pegged stablecoins to strengthen monetary sovereignty.
- The controversy underscores differing views on cryptocurrency.
TikTok has denied allegations that its owners are involved in purchasing the “Official Trump” ($TRUMP) memecoin, following claims from the U.S. Representative Brad Sherman that the company was behind a $300 million crypto buy linked to President Donald Trump.
The Chinese owned social media platform responded publicly on Thursday via its official TikTok Policy account on X rejecting Sherman’s assertion as “false and irresponsible.”
“Congressman, claiming that the owners of TikTok are buying “Trump Coins” is patently false and irresponsible and doesn’t even accurately reflect a letter you signed last month”, the post read.
Sherman, a California Democrat and vocal crypto critic, alleged that TikTok’s Chinese owners were behind a $300 million purchase of Trump branded cryptocurrency, suggesting the move amounted to a bribe.
The lawmaker pointed to the timing of President Trump’s recent executive order delaying the forced sale or ban of TikTok in the United States as suspicious.
The delay, the third such postponement, granted TikTok another 90 days to find a U.S. buyer or face a ban.
Sherman claimed that under existing U.S. law, only one extension was permitted, calling the Trump administration’s continued reprieve for TikTok unlawful.
“Trump creates ‘Trump Coins’ at no cost, meaning this is just a $300 million bribe that goes right into his pocket,” he said.
Sherman’s claims have sparked controversy and debate online, with some commentators questioning the accusation.
Critics noted that while memecoins can be created with minimal upfront costs, attributing a massive financial transaction to them as a direct bribe remains speculative.
Those who challenged Sherman’s motivations, accused him of using anti-crypto rhetoric to advance broader political agendas.
Sherman has long advocated for strict regulation of digital assets, famously calling for an outright ban on cryptocurrencies in 2019. He argues that crypto poses a threat to the dominance of the U.S. dollar in global finance.
In contrast, the Trump administration has embraced a more favorable stance on digital currencies, particularly U.S.-dollar-pegged stablecoins, as part of its strategy to reinforce monetary sovereignty.
Big economies like India have also embraced crypto and advocated for reforms in the recent months.