US House of Representatives votes to divest/ban TicTok

The House of Representatives has voted ByteDance to diverse or “ban”TicTok. The bill now gets pushed to the Senate.

The aim of the bill is to compel ByteDance, TikTok’s Chinese parent company, to divest the social media platform or face a U.S. ban.

Rep. Mike Gallagher, the chair of the House Select Committee on China and the bill’s leading GOP sponsor, insists the legislation aims for a “forced separation” rather than an outright ban, allowing TikTok’s operations to continue under different ownership.

Despite this stance, the bill effectively sets the stage for banning TikTok in the U.S., especially given ByteDance’s and China’s historical refusal to consider selling the app.

National security concerns are the main catalyst.

The fate in the Senate remains uncertain with some suggesting it it will be dead on arrival in the current stance.

This article was written by Greg Michalowski at www.forexlive.com.