US President Donald Trump signed an executive order on Thursday that clears the way for TikTok to continue operating in America, provided it comes under majority US ownership. The move addresses national security concerns that had put the popular video app, owned by China’s ByteDance, at risk of a nationwide ban.

Trump told reporters that Chinese President Xi Jinping had signed off on the arrangement. “They’re on board,” he said, adding that if he could, he would make TikTok “100% MAGA”, but stressed that every viewpoint would be treated fairly.

Vice President JD Vance also said that the deal ensures American investors will control TikTok’s powerful algorithm. “We don’t want this to be used as a propaganda tool by any foreign government. We want it to be fair,” he said.

TikTok, which has 170 million US users, including 15 million followers on Trump’s personal account, has been in limbo since President Joe Biden signed legislation last year requiring ByteDance to divest its US assets or face a ban. Trump has since extended deadlines to keep negotiations alive. The White House even launched its own TikTok account last month.

What is Trump’s deal?

Under the proposed plan, TikTok will be spun into a US joint venture dominated by American investors, with Oracle and Silver Lake among the lead players.

1. US investors are expected to hold about 80% ownership, while ByteDance’s stake would fall to 20% or less.

2. Governance will also shift, with most board seats going to US investors. ByteDance would have just one seat and no role in national security committees.

3. Oracle co-founder Larry Ellison, a close Trump ally, emerges as a key figure in the deal. Ellison recently backed Skydance’s $8 billion Paramount merger, led by his son David.

4. Media baron Rupert Murdoch and Dell founder Michael Dell are also expected to join as investors

For TikTok, this deal could be the lifeline that secures its future in the US, after months of political uncertainty and growing scrutiny.