TikTok's algorithm - the technology that determines what users see in their feed - will be copied and retrained using US user data as part of a deal to secure the app's future in the country.
A White House official said on Monday that TikTok's recommendation system will be audited by tech giant Oracle, and operated by a new joint venture involving US investors to meet requirements for the app's sale.
It comes after President Donald Trump indicated that a deal to prevent the app's ban in the US, unless sold by its Chinese parent company ByteDance, had been reached with China's approval.
The BBC has approached ByteDance and TikTok for comment.
White House officials claim the deal will be a win for the app's US users and citizens.
President Trump is expected to sign an executive order later this week on the proposed deal, which will set out how it will comply with US national security demands.
The order will also outline a 120-day pause to the enforcement deadline to allow the deal to close.
It remains uncertain whether the Chinese government has approved this agreement or begun to take regulatory steps required to implement it.
However, the White House appears confident that it has secured China's approval.
Data belonging to the 170m users TikTok claims it has in the US is already held on Oracle servers, under an arrangement known as Project Texas.
Concerns about user data potentially falling into the hands of the Chinese government prompted this arrangement.
A senior White House official explained that under President Trump's deal, the company would take on a comprehensive role in securing the app for American users. This would include auditing and inspecting the source code and recommendation system and rebuilding it for US users using only US user data.
Patriotic investors
Oracle, a provider of cloud computing infrastructure for numerous companies including OpenAI, has been rumored to play a role in the negotiations for some time.
The company has experienced a surge in demand from AI businesses for its data centers, leading to significant stock increases and making its co-founder, Larry Ellison, the world's richest person at one point.
Earlier this year, President Trump expressed interest in having Mr. Ellison acquire TikTok.
Additionally, private equity firm Silver Lake, known for its investments in various companies including the owners of Manchester City football club, is also reported to be involved in the deal.
Officials from the White House stated that the new joint venture controlling TikTok would seek patriotic investors and board members with cybersecurity expertise to oversee its operations.
They anticipate the deal could be valued at billions of dollars.
However, Jasmine Enberg, a principal analyst at eMarketer, warned that changes to TikTok's functionality may deter users or diminish its worth for creators, brands, and investors.
Material (or even perceived) changes to the content, algorithm or app policies could prompt massive shifts in user behavior, she stated. If a US-only algorithm restricts US TikTok users' access to content worldwide, it could degrade the overall user experience.