TikTok Granted a Third Extension, critics calling it illegal

President Trump just signed an executive order to provide yet another extension for the banning or sale of Tiktok.

The latest delay marked the third postponement, giving TikTok another 90 days to find a buyer or be banned in the U.S, according to online reports.

This move has sparked concern among critics, who have pointed out that according to the American law, the president is only allowed to give on extension. But in this instance, president Trump has already given TikTok three extensions.

Hence, many critics are arguing that president Trump's failure to enforce the ban against Tiktok is plain illegal.

Coincidentally, GD Culture Group-a Nasdaq-listed firm that produces AI-driven content on Tiktok, has announced plans to invest $300 million in both the $Trump token and Bitcoin.

This move has made many speculate that the owners of TikTok could be engaging some under-table deal with President Trump through this seemingly innocuous company.

A $300 Million Dollar Bribe For A Third Extension?

While there are no formal ties between ByteDance and the Nasdaq-listed company GD Culture, but California Democratic Party Representative Brad Sherman is calling this more than just a coincidence.

In his X post, Representative Sherman characterized the memecoin investment as a $300 million bribe to Trump for the extension, asserting that the coin was created at no cost.

Tiktok was quick to respond to the accusation, and has forcefully denied the claims, clarifying once again that its Chinese company has no affiliation to GD Culture.

TikTok has also called the accusations patently false and irresponsible.

TikTok has forcefully denied claims that its Chinese owners are purchasing “Trump Coins,” the official meme coin tied to President Donald Trump, calling the accusations “patently false and irresponsible”.

The controversy erupted after U.S. Representative Brad Sherman alleged that TikTok’s parent company planned to buy $300 million worth of the Trump (TRUMP) memecoin—a claim that quickly drew skepticism and backlash from both TikTok and the broader crypto community.

Community Stands Up against Sherman

While some online commentators were skeptical of TikTok's denials, many refuted Sherman's allegation, labeling them as untrustworthy.

Some also questioned how a company could create a cryptocurrency at no cost.

"No one wants TikTok banned, except that Israeli lobby, aka your puppet masters. Why don't you put up a poll asking your constituents if they want TikTok Banned? "

Sherman has been infamous for his long-time anti-crypto positions. In 2019, he even called for a blanket ban on crypto.

Sherman's hostile stance on crypto is primarily centered around cryptocurrency's potential to displace the U.S dollar.

The Trump administration has taken an opposite approach on crypto, pledging to promote U.S dollar-pegged stablecoins as part of the U.S strategy to strengthen the U.S dollar's sovereignty.

Meanwhile, Trump continues to capitalize on crypto market momentum. Recent financial disclosures show the former president earned $57.35 million from token sales at World Liberty Financial in 2024, with his crypto ventures trailing only his hospitality income and expected to grow further in 2025.

Trump Media and Technology Group (TMTG), which owns Truth Social, also recently received SEC approval for a $2.3 billion Bitcoin treasury deal, further cementing Trump’s deepening ties to the digital asset sector.