Donald Trump may have devised a potential workaround for the impending TikTok ban through a new entity named TikTok America. While the President is expected to make an announcement shortly, it is uncertain whether this initiative has the approval of the Chinese government.

The deadline for the TikTok ban looms this Saturday, and despite speculation, there has been no indication of a deal nearing completion. The concept of TikTok America entails that the new company would be 50% owned by U.S. investors while also licensing TikTok’s popular algorithm.

This arrangement would allow ByteDance, TikTok’s parent company, to retain some ownership and maintain control over its core technology. By licensing the algorithm, ByteDance could also benefit financially, as this would create an additional revenue stream.

The establishment of TikTok America could be a feasible solution to the ongoing dilemma. However, as reports indicate, it remains to be seen whether the Chinese government endorses this plan.

This proposal would significantly reduce ByteDance’s stake in TikTok to 19.9%. Current investors would hold about one-third of TikTok America, with the remaining 50% allocated to U.S. investors.

Some may view this as a favorable outcome since ByteDance would continue to own TikTok and its proprietary technology. The identity of TikTok America’s investors is still not confirmed.

While names like Amazon have been mentioned, Oracle appears to be the frontrunner. Reports suggest that U.S. venture capital firm Andreessen Horowitz intends to partner with Oracle in this endeavor.

Other potential investors include prominent figures such as YouTuber MrBeast and Reddit co-founder Alexis Ohanian. With the deadline fast approaching, all eyes are on Trump, who has expressed optimism about reaching a deal before Saturday.