Trump-backed World Liberty wins conditional bank charter from federal regulator
The Office of the Comptroller of the Currency said it granted "preliminary conditional approval" to World Liberty Trust Co. on Friday.
The U.S. Office of the Comptroller of the Currency (OCC) has granted World Liberty Trust Co. a conditional bank charter, allowing it to provide fiduciary and other trust-related services as a national trust bank. The approval, based on a comprehensive review of the company's application and representations, will not be finalized until the company meets preopening requirements.
World Liberty Trust Company plans to issue a USD1 stablecoin, a fiat currency-backed digital asset, to institutional clients. The bank aims to offer digital asset custody services as a fiduciary, primarily catering to USD1 customers and other institutional clients. The stablecoin is intended to be issued nationwide, replacing BitGo Bank & Trust, National Association, as the exclusive issuer and custodian for USD1.
The approval of World Liberty Trust Co. has sparked controversy, as the broader World Liberty entities are partially owned by President Donald Trump. Democratic lawmakers, including Senator Elizabeth Warren, have expressed concerns about the involvement of Trump in the approval process. Warren accused Comptroller of the Currency Jonathan Gould of approving unqualified crypto banks, stating that these institutions seek to circumvent essential safeguards and obligations.
Despite her concerns, Gould assured Warren that the OCC would proceed with the application on its normal timeline, free from political influence.
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