OCC Grants Conditional Charter
On Friday, the Office of the Comptroller of the Currency (OCC) announced that it has conditionally approved the application of World Liberty Trust Co. to operate as a national trust bank. The trust company is sponsored by World Liberty Financial, a cryptocurrency firm that reports that 38 % of its shares are held by an entity linked to former President Donald J. Trump and certain family members.
The approval was posted in a letter on the OCC’s website and represents a significant step for a crypto‑centric organization seeking to expand its regulatory footprint. While the charter is not final, the OCC has indicated that the bank must complete additional requirements—most notably raising the capital necessary to meet federal standards—before the full authorization can be granted.
Implications for Stablecoin Operations
One of the primary motivations behind World Liberty’s request is the ability to issue stablecoins directly under its own brand. Stablecoins are digital currencies pegged to a reserve of assets such as U.S. Treasuries and are redeemable on a one‑to‑one basis with U.S. dollars. Currently, World Liberty relies on the third‑party firm BitGo for several stablecoin‑related services. Bringing those functions in‑house could open up new revenue streams and give the company greater control over its digital asset offerings.
Regulatory Context and Capital Requirements
The OCC’s stance under the Trump administration has been notably supportive of new banking charters, particularly those associated with emerging financial technologies. Data from the agency shows that since 2025 it has received 40 charter applications—a sharp rise compared with the Biden era. Many of these applications come from firms involved in the cryptocurrency space.
World Liberty’s CEO, Zach Witkoff—who also chairs the OCC‑regulated trust company—stated in a statement that the firm welcomes ongoing scrutiny from federal regulators for years to come. Witkoff emphasized the company’s commitment to meeting all regulatory obligations and to providing secure, compliant financial products.
Political Reactions and Congressional Concerns
The approval has drawn sharp criticism from some members of Congress, particularly Democrats who have expressed concerns about a sitting president owning or operating a bank. Senator Elizabeth Warren of Massachusetts, who had previously urged the OCC to deny the application unless President Trump divested his interests, described the move as “the most brazen act of self‑dealing our financial system has ever seen.”
Warren said, “President Trump is now the first President in history to approve, operate, and supervise his own bank.” She added that she and several colleagues would introduce legislation to prohibit presidents and senior officials from owning or controlling banks. The Clarity Act—a proposed bill aimed at regulating the crypto industry—has also faced opposition from Democrats who argue it does not impose sufficient limits on presidential profit‑making from crypto ventures.
OCC Review Process Clarification
A correction to earlier reporting clarified that the OCC’s application reviews are conducted entirely by career staff at the agency. This distinction was mistakenly understated in a previous version of the story.
The decision to grant conditional approval marks a pivotal moment for World Liberty and the broader intersection of cryptocurrency and traditional banking. As the company works to satisfy the remaining capital and regulatory requirements, market observers will closely monitor how this development could reshape the stablecoin landscape and the regulatory environment for crypto‑backed financial institutions.