The Big Story 

Oracle will provide security for the new TikTok entity in the United States, following the President Trump-backed deal to allow the social media company to keep operating in the U.S.

© Damian Dovarganes, Associated Press

The proposal will “allow Oracle, as the security provider for this new entity, to inspect it, to study how it behaves and see how it operates,” a senior White House official said.

The U.S. TikTok investment group includes Oracle and private equity firm Silver Lake, among other firms, the official said, adding that the full number of investors will be finalized before the end of the transaction.

The official expects TikTok’s parent company ByteDance will hold less than 20 percent of the equity in the U.S. operations, which complies with the Biden-era divest-or-ban law, The Hill’s Alex Gangitano reports.

As part of the proposal, the algorithm of TikTok will be “retrained” and brought under the control of the U.S. joint venture, a result of what the official said was “a tough point of negotiation.”

Per the deal, “a copy of the content recommendation algorithm … [is] going to be fully inspected and retrained by the security provider on U.S. user data and then it’s going to be operated by that U.S. entity,” the official said.

 “It’s going to be continuously monitored as it operates to ensure that it’s behaving appropriately — that it’s not being used for any kind of malicious purpose and that it’s not being unduly influenced,” they continued.

Trump said Friday that Chinese President Xi Jinping approved the deal that would allow TikTok to remain operating in the U.S. At the time, the Chinese government raised questions about how far along negotiations actually were in its description of the Trump-Xi call.

When asked if China has agreed to all terms of the deal, the official said, “we feel confident that China has approved the deal and that all the necessary regulatory hurdles that go along with final approval of the deal will move forward.”

The official added that there are no plans for additional talks with the Chinese delegation.

Trump is expected to sign an executive order later this week declaring that the terms of the deal meets U.S. national security needs.

He will also extend the enforcement pause by an additional 20 days to allow the investors and TikTok to work through implementation documents. Trump had pushed back enforcement of the divest-or-ban law until Dec. 16 last week.

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 

US, UK launch joint taskforce on crypto, capital markets

© Greg Nash

The U.S. and U.K. are launching a joint taskforce to “enhance collaboration” on digital assets and capital markets.

The Transatlantic Taskforce for Markets of the Future, announced Monday, will consider options for collaboration on crypto as the countries continue to develop their own regulatory schemes.

It will also look into improving links between capital markets in the U.S. and U.K., with an eye toward reducing regulatory burdens on cross-border capital raising.

The new taskforce follows Treasury Secretary Scott Bessent’s visit to the U.K. last week, where he met with British counterpart Rachel Reeves.

Reeves has faced pressure to take action on crypto. A group of executives from Coinbase, Kraken and other crypto firms called for the U.K. to establish a national stablecoin strategy in a letter to the finance minister in August, according to CNBC.

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

In Other News 

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Trump downplays Musk reunion: ‘Elon came over and said hello’

President Trump downplayed his reunion on Sunday with Tesla CEO Elon Musk, a former close ally whose public split with the president drew widespread attention earlier this year. Speaking to reporters on Air Force One, Trump said he appreciated that Musk greeted him at the memorial service for conservative activist Charlie Kirk. “Well, Elon came over and said hello. No, it’s nothing to do with that,” Trump told reporters when …

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