The Big Story 

Rep. John Moolenaar (R-Mich.), chair of the House Select Committee on the Chinese Communist Party, raised concerns Wednesday about the ongoing reliance of a potential TikTok spinoff on an algorithm from its China-based parent company as the Trump administration nears a deal on the app. 

© Greg Nash

Treasury Secretary Scott Bessent announced Monday that the U.S. had a “framework” for an agreement on TikTok following trade talks with China.

President Trump and Chinese President Xi Jinping are set to speak Friday to complete the deal, Bessent said. 

The popular video-sharing platform has remained in limbo for months, as Trump has repeatedly delayed enforcement of a law requiring TikTok parent ByteDance to divest from the app or a face a ban on U.S. networks and app stores. 

Moolenaar said Wednesday that Congress enacted the law on an “overwhelming bipartisan basis” because of national security concerns about China’s ability to collect American user data and potentially manipulate their feeds. 

Lawmakers “set clear legal safeguards for a deal,” he noted, which barred cooperation with ByteDance on TikTok’s algorithm or an ongoing operational relationship between the app and its parent company.

“Based on initial reports, I am concerned the reported licensing deal may involve ongoing reliance by the new TikTok on a ByteDance algorithm and application that could allow continued CCP control or influence,” Moolenaar said in a statement.

“I look forward to receiving full details on the deal and discussing these issues with the transaction parties to ensure any deal adheres to the law’s legal requirements,” he continued. 

The deputy head of China’s cyber regulator has suggested that the TikTok deal includes “licensing the algorithm and other intellectual property rights,” according to the Financial Times. 

Specific details about the deal have yet to be disclosed, although several outlets have reported that Oracle, Silver Lake and Andreessen Horowitz are part of a group of investors poised to own a new U.S. entity that would operate TikTok.  

Welcome to The Hill’s Technology newsletter, I’m Julia Shapero — tracking the latest moves from Capitol Hill to Silicon Valley.

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Crypto Corner 

Democratic senators press for answers on Binance

© Jose Luis Magana, Associated Press

Three Democratic senators on Wednesday pressed Attorney General Pam Bondi for more information about Binance’s compliance with a plea agreement amid reports of a potential deal with the Department of Justice (DOJ).

Sens. Elizabeth Warren (D-Mass.), Mazie Hirono (D-Hawaii) and Richard Blumenthal (D-Conn.) followed up on an earlier letter about the crypto exchange, suggesting the agency’s response failed to “meaningfully answer any of our questions.”

While the DOJ acknowledged that Binance has ongoing requirements under its plea agreement, the senators argued that it did not confirm whether the company was complying with those requirements.

The letter comes shortly after Bloomberg reported that the exchange was nearing a deal with the agency to drop a requirement that it maintain an outside compliance monitor.

“These reports make it more important than ever that the public understand the Trump Administration’s interactions with, and relationship to, Binance and its employees,” the senators added.

Binance pleaded guilty in 2023 to allegations that it failed to maintain an effective anti-money laundering program. As part of the plea agreement, it paid a $4.3 billion fine and agreed to retain an independent monitor and improve its anti-money laundering and sanctions compliance efforts.

Crypto Corner is a daily feature focused on digital currency and its outlook in Washington.