US Diversifies Rare Earth Supply, Pushes TikTok Divestment
US Treasury Secretary Scott Bessent criticized China’s threat to weaponize rare earth exports as a strategic miscalculation, accelerating US efforts to diversify critical mineral supply chains by investing in Australian, Canadian and domestic processing to counter Beijing’s 60% mining and 85% processing dominance. He also noted China’s soybean tariffs have stalled US exports—down from 31 million metric tons in 2017 to near zero—hitting everyday farmers hardest. Bessent confirmed progress on ByteDance’s TikTok divestment: US ownership must fall below 20%, the app’s algorithm retrained under American oversight, and six of seven board seats held by US citizens by January 20, 2026. These measures reflect a strategic shift toward supply chain resilience, digital security and broader US-China trade tensions.
Neutral
This update is likely to have a neutral impact on cryptocurrency markets, as it centers on critical mineral sourcing and TikTok governance rather than digital assets. While supply chain resilience and geopolitical tensions can influence broader market sentiment, there are no direct crypto-specific measures to drive prices. Traders should monitor related technology investments and regulatory shifts, but immediate price movement in digital assets is unlikely.