The law, which was adopted in April, states that Tiktok must be sold to an American owner by January 19, 2025, at the latest. If the platform continues under Chinese ownership, it will instead be banned.
Donald Trump takes office as president the day after the deadline, and can grant Tiktok's Chinese owner Bytedance a dispensation for an additional 90 days.
Trump has previously been in favor of a Tiktok ban, but has changed his mind and said earlier this week that he will save Tiktok in the USA.
Tiktok sued the American state in the spring in an attempt to stop the law. The company claims that it will appeal the verdict to the Supreme Court and argues that the decision violates freedom of speech.
The US Department of Justice claims that Tiktok collects sensitive information from the app's American users, information that according to the department is stored on servers in China. The Department of Justice therefore sees the popular app as a potential security threat.
