My theoretical answer would be that we can regulate American companies more effectively and have them be held accountable, like when Zuckerberg had to go before Congress. I doubt you'd be able to get the CEO of a large Chinese company to do that.
In reality we don't regulate them nearly as much as we can, so the end result is that FB and Tiktok both invade your privacy.
Well one major thing is that tramp is inside emacs so you can configure it with elisp, which is a major plus in my mind.
The main problem with tramp is that Emacs is single threaded (and elisp threads run one at a time), so networking operations can be iffy. On most normal connections it works fine in my experience. Another reason to use sshfs is if you're switching between Emacs and a separate terminal, you don't need another connection. That goes away with vterm since now you don't need a separate terminal (it fixes a lot of the traditional problems with ansi-term, shell-mode, and eshell. Although there's a good argument to make for using eshell as your main shell).
Not trying to flame the guy since he obviously put in a lot of work on his own, but the original idea is from a lainchan thread [1] for the 3d anonymous imageboard 3dchan [2]. I'm only assuming they're not the same person since this project is not on the 3dchan owner's github [3]. Again, the two are quite clearly different, and parallel creativity does exist in the realm of possibility, but my personal guess is he used the same concept to build something similar.
In reality we don't regulate them nearly as much as we can, so the end result is that FB and Tiktok both invade your privacy.