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TikTok Ban's Impact on the Crypto Industry: Expert Insights

Explore the potential consequences of a TikTok ban on the crypto industry as experts weigh in on the RESTRICT Act and its implications for the community.

Tiktok logo and justice gavel
Tiktok logo and justice gavel

U.S. Lawmakers Question TikTok CEO

On March 23, United States lawmakers interrogated TikTok CEO Shou Chew during a House Energy and Commerce Committee hearing in Washington. The questioning centered around concerns that the Chinese government might collect user data through the app, sparking viral online reactions.

Restrict Act Raises Concerns

The recent introduction of the Restricting the Emergence of Security Threats that Risk Information and Communications Technology (RESTRICT) Act in the U.S. Senate has intensified concerns about a possible TikTok ban. Although not specifically focused on crypto, the crypto community widely uses the app to access related content.

Coin Center's Warning on Crypto Impact

US-based think tank Coin Center highlighted that the RESTRICT Act bears similarities to the International Emergency Economic Powers Act. This could give the Treasury's Office of Foreign Assets Control (OFAC) the power to ban transactions with sanctioned entities, which may have significant consequences for the crypto industry.

CryptoWendyO's View on the Act's True Purpose

Bitcoin YouTuber CryptoWendyO expressed her belief that the RESTRICT Act targets the crypto space rather than TikTok itself. She stated on Twitter that banning bitcoin, crypto, and NFTs is the bill's ultimate goal.

Crypto Community Reacts to Potential Ban

Some individuals in the crypto community are worried that the act could be used to ban crypto directly. Others involved in promoting various crypto projects have also voiced concerns over the potential impact of a TikTok ban on their efforts.

TikTok's Role in Crypto Growth

TikTok has evolved from a platform focused on teenagers and trending dances to one that covers various niches, including crypto. The app has been instrumental in helping crypto projects build their communities, with influencers and exchanges using the platform to share content. Currently, the hashtags "crypto" and "cryptocurrency" have a combined view count of 34.7 billion.