"UAE Company Acquires TikTok's US Stake, Investing Trillions in Trump Family"

UAE State-Owned MGX Invested 2.8 Trillion Won in Trump Sons' Crypto Business in May

Acquired 15% Stake in TikTok's US Entity Within Four Months... White House Claims "No Connection"

TikTok and US President Donald Trump [Reuters Yonhap News]

Speculation is mounting as it has been revealed that the investment firm from the United Arab Emirates (UAE) that is taking a stake in TikTok's US entity was previously a "major investor" that backed the cryptocurrency businesses of US President Donald Trump's family.

On the 26th (local time), The Washington Post (WP) reported, citing sources, that the UAE's state-owned investment company MGX will hold a 15% stake in TikTok's US entity.

Previously, US business media outlets such as CNBC had also reported that Oracle, Silver Lake, and MGX would each hold a 15% stake in TikTok's US entity. TikTok's parent company, ByteDance, will retain less than 20%, with other investors holding the remainder.

The valuation of TikTok's US entity was estimated at approximately $14 billion (about 19.7 trillion won), a figure that the industry considers significantly undervalued, according to WP.

MGX is a powerful entity in the UAE, led by Sheikh Tahnoun bin Zayed Al Nahyan, the brother of the Abu Dhabi ruler and UAE National Security Advisor.

MGX is also known for its investments in companies like OpenAI, the developer of ChatGPT, and has emerged as an investor in key deals involving US strategic interests since the Trump administration.

In May, MGX gained attention by agreeing to invest $2 billion (approximately 2.8 trillion won) in the stablecoin of "World Liberty Financial" (WLF), a cryptocurrency platform led by two of President Trump's sons. Cryptocurrency exchange Binance described this as "the largest stablecoin investment in history."

Just four months later, MGX secured a 15% stake in TikTok's US entity, a deal negotiated by the Trump administration.

In this regard, while the Trump administration did not disclose the names of the new investors, President Trump stated on the 25th that it would operate for "American investors, American companies."

Senator Elizabeth Warren (Democrat-Massachusetts) stated in an interview with WP that MGX is a "shady Abu Dhabi company" and alleged that it "has already entered into agreements to secure sensitive American technology while enriching the Trump family's cryptocurrency company."

The White House stated that foreign investment is not legally prohibited and that American investors will still constitute the overwhelming majority, claiming that MGX's involvement in the Trump family's business is unrelated to this transaction. Yonhap News