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Trump saves TikTok for third time giving app 90-day lifeline before it faces U.S. ban

Trump saves TikTok for third time giving app 90-day lifeline before it faces U.S. ban

Daily Mail​5 hours ago

President Donald Trump on Thursday signed an executive order to keep TikTok running in the U.S. for another 90 days to give his administration more time to broker a deal to bring the social media platform under American ownership.
'As he has said many times, President Trump does not want TikTok to go dark. This extension will last 90 days, which the administration will spend working to ensure this deal is closed so that the American people can continue to use TikTok with the assurance that their data is safe and secure,' White House press secretary Karoline Leavitt said in a statement on Tuesday.
Trump disclosed the executive order on the Truth Social platform Thursday morning.
It is the third time Trump has extended the deadline.
The first one was through an executive order on Jan. 20, his first day in office, after the platform went dark briefly when a national ban - approved by Congress and upheld by the U.S. Supreme Court - took effect.
The second was in April when White House officials believed they were nearing a deal to spin off TikTok into a new company with U.S. ownership that fell apart after China backed out following Trump's tariff announcement.
It is not clear how many times Trump can - or will - keep extending the ban as the government continues to try to negotiate a deal for TikTok, which is owned by China's ByteDance.
While there is no clear legal basis for the extensions, so far there have been no legal challenges to fight them.
Trump has amassed more than 15 million followers on TikTok since he joined last year, and he has credited the trendsetting platform with helping him gain traction among young voters.
He said in January that he has a 'warm spot for TikTok.'
As the extensions continue, it appears less and less likely that TikTok will be banned in the U.S. any time soon. The decision to keep TikTok alive through an executive order has received some scrutiny, but it has not faced a legal challenge in court - unlike many of Trump's other executive orders.
Jeremy Goldman, analyst at Emarketer, called TikTok's U.S situation a 'deadline purgatory.'
The whole thing 'is starting to feel less like a ticking clock and more like a looped ringtone. This political Groundhog Day is starting to resemble the debt ceiling drama: a recurring threat with no real resolution.'
For now, TikTok continues to function for its 170 million users in the U.S., and tech giants Apple, Google and Oracle were persuaded to continue to offer and support the app, on the promise that Trump's Justice Department would not use the law to seek potentially steep fines against them.
Americans are even more closely divided on what to do about TikTok than they were two years ago.
A recent Pew Research Center survey found that about one-third of Americans said they supported a TikTok ban, down from 50 percent in March 2023.
Roughly one-third said they would oppose a ban, and a similar percentage said they weren´t sure.
Among those who said they supported banning the social media platform, about 8 in 10 cited concerns over users' data security being at risk as a major factor in their decision, according to the report.
Democratic Sen. Mark Warner of Virginia, vice chair of the Senate Intelligence Committee, said the Trump administration is once again 'flouting the law and ignoring its own national security findings about the risks' posed by a China-controlled TikTok.
'An executive order can't sidestep the law, but that´s exactly what the president is trying to do,' Warner added.

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Tesla Pauses Cybertruck, Model Y Production to Cut Backlogs
Tesla Pauses Cybertruck, Model Y Production to Cut Backlogs

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  • Auto Blog

Tesla Pauses Cybertruck, Model Y Production to Cut Backlogs

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Breakingviews - Uncle Sam's stablecoin passion has shaky rationale
Breakingviews - Uncle Sam's stablecoin passion has shaky rationale

Reuters

time19 minutes ago

  • Reuters

Breakingviews - Uncle Sam's stablecoin passion has shaky rationale

LONDON, June 19 (Reuters Breakingviews) - Uncle Sam is going all-in on stablecoins. President Donald Trump backed, opens new tab the privately issued cryptocurrencies whose value is pegged to the U.S. dollar within days of his inauguration in January. Now Congress is poised to legislate, after the Senate this week approved the Guiding and Establishing National Innovation for U.S. Stablecoins – or GENIUS - Act. The newly supportive regulatory environment has drawn a flood of interest from potential issuers, from major banks, opens new tab to retailers, opens new tab such as Walmart (WMT.N), opens new tab and (AMZN.O), opens new tab, according to media reports. Meanwhile stablecoin specialist Circle Internet, opens new tab(CRCL.N), opens new tab, which listed on the New York Stock Exchange this month, has a digital dollar surrogate, USDC, which already has coins worth over $60 billion in circulation, opens new tab. Commercial interest is nothing new. Tech-savvy American corporates have long recognised stablecoins as the one species of digital money with a compelling mainstream use. The first generation of cryptocurrencies such as bitcoin offered not just a way of digitally storing and transferring value, but the ability to denominate it in their own standard units. That model caught on with speculative traders but never made much headway in the world of digital payments. Stablecoins, by contrast, combine the novelty of global, real-time availability and programmability with the familiarity of national currency units. That makes them uninteresting as speculative bets – but well suited as methods for payment. A simple comparison shows how the two models serve different purposes. Bitcoin – the original and by far the largest own-standard cryptocurrency – has tokens in circulation worth $2.1 trillion. That's nearly 10 times the value of the two biggest stablecoins, USDT and USDC, combined. Yet when it comes to transactions, the leaderboard is reversed. Less than 3% of those bitcoins change hands in a 24-hour period, compared to nearly 40% of the two stablecoins. The payments business is a big target for disruption. Visa (V.N), opens new tab and Mastercard (MA.N), opens new tab – the two largest processors of fiat currency payments – reported combined revenue of $74 billion last year and enjoy net profit margins of around 50%. That's quite a market at which to take aim. Moreover, stablecoin issuers collect interest on the collateral backing their digital coins as well as harvesting transaction processing fees. That's how Circle made a cool $1.7 billion in revenue last year. It's not hard to see why potential stablecoin issuers have been lining up for years. Nevertheless early projects flopped, notably Facebook owner Meta Platforms' (META.O), opens new tab ill-fated 2017 Libra stablecoin, opens new tab. That's because regulators and central bankers have not been nearly so keen. Three potential gremlins have been uppermost in their minds. The first is what would happen if stablecoins are not backed by sufficient high-quality, liquid collateral to make them redeemable at par on demand. A plague of pseudo-U.S. dollars would then circulate at varying discounts to the real greenback. That would undermine the so-called 'singleness of money, opens new tab' and destroy the co-ordinating role of the U.S. dollar as a unit of account. The regulators' second bugbear is the black economy. They fret that because stablecoins are effectively 'bearer securities', like physical banknotes, they are subject to know-your-customer and anti-money laundering rules only when their users seek to convert them into traditional bank deposits. In the meantime, they can be used to make payments anonymously just like physical cash. Finally, there is the risk that stablecoins erode the effectiveness of monetary policy. Physical greenbacks may be hard to track, but they are still issued by the U.S. Federal Reserve. A stablecoin issued by Amazon or Walmart might settle a macroeconomically significant volume of transactions between its customers and suppliers without ever formally touching the dollar. That could scramble the Fed's attempts to manage inflation by constraining liquidity. Yet none of these objections are new. Prudential risks are already a concern for money market funds and traditional banks. The anonymity of transactions is a feature of physical banknotes. The dilution of monetary policy is a familiar gripe of central bankers in emerging markets, where foreign currencies such as the dollar or euro often circulate alongside the national unit. What spooks regulators in the developed world is less the novelty of the risks than the frightening scale, scope, and speed which digitisation allows. That implies work-arounds can probably be found, especially if a unified clearing and settlement protocol connecting stablecoins to the traditional financial system, such as the ubyx, opens new tab concept announced this week, are adopted. Until this year, the caution of the regulators trumped the commercial interests of potential stablecoin issuers. What has helped to unblock the GENIUS Act is that the U.S. government believes it has spotted a fiscal benefit. Treasury Secretary Scott Bessent set out, opens new tab his reasoning immediately after the Senate approved the act. 'A thriving stablecoin ecosystem will drive demand from the private sector for U.S. Treasuries, which back stablecoins,' he wrote: 'This newfound demand could lower government borrowing costs and help rein in the national debt.' What's more, he argued, stablecoins could 'onramp millions of new users – across the globe – to the dollar-based digital asset economy', effectively opening up a new frontier of overseas funding for the U.S. budget deficit. Bessent cited projections that the stablecoin market could top $3.7 trillion by 2030. That's certainly not small change. It would be more than sufficient to soak up the $3 trillion that nonpartisan experts reckon, opens new tab Trump's One Big Beautiful Bill Act will add to the national debt over the next 10 years. Unfortunately, things are not so simple. The Treasury already effectively enjoys free foreign financing via overseas demand for U.S. dollar banknotes. The Fed estimates, opens new tab that over $1 trillion of them currently circulate abroad. If dollar-backed stablecoins simply replace demand for physical notes, there will be no net fiscal benefit. Another niggle is that while purchases of stablecoins may help finance the national debt, the tokens could facilitate more payments that fly under the radar of the Internal Revenue Service (IRS). In 2022, the IRS estimated, opens new tab that nearly 12% of U.S. taxes go missing due to underreporting, implying a shortfall of around $600 billion in the most recent fiscal year. A surge in stablecoin usage could easily make that worse. Given the compelling commercial case and the likelihood that regulatory risks can be managed, it is ironic that the potential fiscal dividend that has finally convinced the U.S. government to bank on stablecoins is the shakiest rationale for embracing them. Follow @felixmwmartin, opens new tab on X

The bomb from hell... So will the US deploy it? Can it take out Iran's nuclear site? And what would happen next?: MARK ALMOND
The bomb from hell... So will the US deploy it? Can it take out Iran's nuclear site? And what would happen next?: MARK ALMOND

Daily Mail​

time21 minutes ago

  • Daily Mail​

The bomb from hell... So will the US deploy it? Can it take out Iran's nuclear site? And what would happen next?: MARK ALMOND

Donald Trump loves to back a winner. And with the military momentum now heavily on Israel 's side, it would be no surprise if the 47th President eventually decides to join the party and attack 's key nuclear facilities. The prospect of a quick win – of epoch-making regime change, even – must be tempting for a man who has already let it be known he wants a Nobel Peace Prize.

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