Mon Feb 03 20:29:12 UTC 2025: ## Trump Announces Plan for US Sovereign Wealth Fund, Potentially to Acquire TikTok
**Washington, D.C.** – President Donald Trump announced Monday the creation of a US sovereign wealth fund, a move that surprised Wall Street and raised questions about its feasibility and funding. The fund, slated for completion within the next year, could potentially be used to acquire the popular short-video app TikTok, currently facing a US ban due to national security concerns.
Trump offered few details on the fund’s mechanics. Unlike most sovereign wealth funds, which rely on government budget surpluses, the US operates with a deficit. Congressional approval will likely be required. The President stated the fund would generate significant wealth through unspecified means, previously mentioning “tariffs and other intelligent things” as potential funding sources. Treasury Secretary Scott Bessent added that the fund would utilize existing US assets.
The announcement comes after previous consideration of a similar fund by the Biden administration, according to reports from the New York Times and Financial Times. Financial analysts expressed skepticism, citing the US deficit and questioning the economic logic of establishing such a fund. Globally, over 90 sovereign wealth funds manage more than $8 trillion in assets.
Trump linked the fund to the ongoing saga surrounding TikTok, suggesting it could be a vehicle for purchasing the app from its Chinese owner, ByteDance. A recent law mandated either a sale or a US ban, but Trump issued an executive order delaying enforcement. He stated that a decision on TikTok’s future, potentially involving the sovereign wealth fund, is expected this month. The app boasts approximately 170 million American users. The President emphasized that a deal to acquire TikTok would only proceed if deemed advantageous.
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