World Liberty Financial, the crypto venture backed by President Donald Trump and members of his family, has received preliminary conditional approval from the Office of the Comptroller of the Currency to establish a national trust bank focused on stablecoin and digital-asset services.
- World Liberty Financial secures a U.S. National Trust Bank charter to issue its stablecoin under federal OCC oversight.
- The WLF charter prohibits conventional commercial banking services like deposit-taking or lending to minimize competition with established Wall Street banks.
- WLF integrates federal banking status into the Trump-backed DeFi project, establishing a regulated gateway for institutional stablecoin adoption in the United States.
The proposed World Liberty Trust Company would not operate as a conventional commercial bank. It would not accept insured deposits or make loans. Its approved activities would instead include issuing and redeeming the USD1 stablecoin, maintaining its reserves and providing digital-asset custody services.
The OCC issued its decision on August 14, clearing a regulatory hurdle for World Liberty but requiring the company to satisfy additional conditions before the proposed bank can open. The institution would be based in Bay Harbor Islands, Florida.
What The Charter Allows
World Liberty Trust would be authorized to issue and redeem USD1 and maintain the assets backing the stablecoin. It could also provide digital-asset custody services for institutional clients and offer conversion services related to assets held in custody.
The proposed bank would take over USD1 issuance and custody from BitGo Bank & Trust, according to the OCC decision.
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→ Submit a Press ReleaseThe institution would be organized as an uninsured national trust bank. It would not seek Federal Deposit Insurance Corporation insurance or a Federal Reserve master account, and its business plan does not include traditional lending.
The structure reflects the limited purpose of the proposed charter. Its activities would be concentrated on stablecoin operations and digital assets rather than the deposit and lending services associated with commercial banks.
World Liberty Must Meet Capital Requirements
The OCC’s approval is conditional. World Liberty Trust must meet capital, governance, audit, financial reporting, technology and security requirements before beginning operations.
The proposed bank must maintain at least $20 million in Tier 1 capital. At least $10 million, or 50% of Tier 1 capital if greater, must be held in eligible liquid assets. It must also maintain liquid assets equal to at least 180 days of operating expenses.
World Liberty must raise the required capital within 12 months and open the bank within 18 months. If it does not meet those deadlines, the preliminary approval expires.
The OCC also requires the proposed bank to establish an independent internal audit function, appoint qualified senior officers and directors, maintain an external auditor and meet additional requirements for its technology and security systems.
The bank would also have to comply with the GENIUS Act for its stablecoin activities. If it could not meet the law’s requirements, it would have to cease or divest the affected activities.
Trump Family Connections Draw Scrutiny
The application has faced scrutiny because of World Liberty’s ties to Trump and his family.
The OCC’s decision records comments raising potential conflicts involving Trump, his family, the Witkoff family and other investors. The regulator said those issues were considered outside the statutory factors governing the charter application.
The agency said its career staff reviewed the application under delegated authority and acted consistently with their statutory duties and ethical obligations.
World Liberty Financial’s website says an entity affiliated with Donald Trump and certain family members owns a 38% stake in the company.
Zachary Witkoff, the son of Trump’s Middle East envoy Steve Witkoff, is listed as an organizer, director and president of the proposed bank. Other organizers and directors listed in the OCC decision include Scott Alper, Robert Witkoff, Jeffrey Weiner and Erin Baskett.
Several investors have also made passivity commitments to the OCC. Those agreements limit their ability to control or influence the proposed bank.
USD1 Operations Could Move From BitGo
The charter could change how World Liberty manages USD1.
The stablecoin is currently issued and held in custody through BitGo Bank & Trust. Under the proposed structure, World Liberty Trust would assume those functions.
USD1 has grown into a multibillion-dollar stablecoin. Its supply was reported at roughly $4 billion in August, placing it among the largest dollar-pegged digital assets.
Moving issuance and reserve management into a federally chartered trust bank would put those operations under the OCC’s supervisory framework, subject to the conditions attached to the approval.
The proposed bank’s role would remain narrower than that of a traditional bank. It could issue and redeem USD1, maintain its backing assets and provide specified digital-asset services, but it would not take insured deposits or operate a conventional lending business.
Final Authorization Has Not Been Granted
World Liberty filed its application in January. The OCC’s August decision does not give the proposed bank permission to begin operating immediately.
The company must complete the remaining capital, governance, audit, technology and other pre-opening requirements before receiving final authorization.
Until those conditions are satisfied, World Liberty Trust remains a proposed national trust bank rather than an operating commercial bank.
The decision gives World Liberty a path to bring USD1’s core operations under its own federally supervised institution. Whether that structure becomes operational will depend on the company’s ability to meet the OCC’s remaining requirements.
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