TikTok TRUMP memecoin bribe scandal deepens as platform denies $300M allegations

The TikTok TRUMP memecoin saga has taken another turn as the Chinese social media giant has vehemently denied allegations that it secretly purchased $300 million worth of the TRUMP memecoin, calling the claims “irresponsible and false.”

The controversy erupted after U.S. Representative Brad Sherman (D-CA) accused TikTok’s owners of buying the cryptocurrency as a backdoor bribe to former President Donald Trump.

In a sharp rebuke on X (formerly Twitter), TikTok Policy stated:

“Congressman, claiming that the owners of TikTok are buying ‘Trump Coins’ is patently false and doesn’t even accurately reflect a letter you signed last month.”

The statement came just hours after Sherman alleged that Trump was profiting from the TikTok TRUMP memecoin scheme.

Sherman’s explosive claims: A $300M “bribe” in memecoins?

Sherman, a longtime crypto skeptic, claimed that Trump’s administration deliberately delayed banning TikTok in exchange for the TikTok TRUMP memecoin purchases.

“Trump creates ‘Trump Coins’ at no cost, meaning this is just a $300 million bribe that goes right into his pocket,” Sherman declared.

The accusations appear linked to Nasdaq-listed GD Culture Group, a firm that creates AI-powered TikTok content. Reports surfaced in May that GD Culture planned to buy $300 million in Bitcoin and the TikTok TRUMP memecoin, though the company has no formal ties to TikTok or its parent firm, ByteDance.

Trump’s team has not directly addressed the TikTok TRUMP memecoin allegations, but the former president has previously embraced cryptocurrency, disclosing $57 million in crypto earnings earlier this year.

TikTok ban delay fuels conspiracy theories

Sherman’s allegations gained traction after Trump extended TikTok’s U.S. operations deadline for the third time, pushing a potential ban or sale to late 2024. Sherman argues that only one extension is legally permitted, calling Trump’s move “illegal.”

The delay has fueled speculation that Trump’s leniency toward TikTok is tied to the TikTok TRUMP memecoin rumors. However, TikTok insists Sherman’s claims are baseless, with one company spokesperson stating: “There is zero truth to the idea that ByteDance or TikTok are involved in cryptocurrency schemes.”

Crypto community divided over Sherman’s credibility

While some online commentators questioned TikTok’s denial, many dismissed Sherman’s claims as politically motivated.

“No one wants TikTok banned except the Israeli lobby,” one X user fired back.

Others mocked Sherman’s understanding of crypto, noting that “creating a cryptocurrency isn’t free.”

Sherman, who called for a blanket crypto ban in 2019, has long argued that digital assets threaten the U.S. dollar’s dominance. Ironically, Trump’s administration has championed dollar-pegged stablecoins—a stark contrast to Sherman’s anti-crypto crusade.

The bigger picture: Memecoins, politics, and misinformation

The TikTok TRUMP memecoin saga highlights how cryptocurrency is increasingly entangled in political warfare. With memecoins like TRUMP gaining speculative hype, critics warn that unverified claims—like Sherman’s—can manipulate markets and public opinion.

As of press time, neither Trump nor GD Culture Group has commented on the alleged $300 million TikTok TRUMP memecoin deal.