President Donald Trump signed an executive order that has the potential to allow the government to buy TikTok.
The new executive action, signed on February 3, directed the creation of a sovereign wealth fund, with the stated goal of profiting from government contracts with certain companies.
A sovereign wealth fund, as defined by Investopedia, is a state-owned investment fund composed of money generated by the government, often derived from a country’s surplus reserves.
Trending: WATCH LIVE: Trump signs executive orders at the White House
Treasury Secretary Scott Bessent and Commerce Secretary Howard Lutnick would be appointed to spearhead the effort for the fund, aimed at acquiring TikTok and possibly shares in other larger companies, such as vaccine manufacturers.
“If we are going to buy two billion COVID vaccines, maybe we should have some warrants and some equity in these companies,”
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