OCC conditionally approves World Liberty trust charter amid conflict scrutiny

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OCC approves World Liberty Trust charter

Highlights

The OCC conditionally approves World Liberty Financial's national trust bank charter, allowing USD1 stablecoin issuance and digital asset custody subject to final regulatory clearance.
Trump family entities hold 38% equity in World Liberty, prompting Senator Warren to unveil the Ending Presidential Corruption in Banking Act after OCC approval.
Abu Dhabi-backed investors acquire a 49% stake in World Liberty for $500 million in January 2025, and UAE's MGX invests $2 billion in Binance via USD1 stablecoin.

Charter approval and proposed crypto services

As reported by Cointelegraph, citing the U.S. Office of the Comptroller of the Currency, the agency on Friday grants conditional approval for World Liberty Financial’s application for a national trust bank charter, subject to regulatory and policy requirements. If finalized, the company is allowed to operate under the name World Liberty Trust Company, National Association.

According to the application, the proposed bank plans to issue U.S. dollar-backed stablecoins and provide custody for digital assets linked to the company’s USD1 token. The OCC says the comptroller and agency staff act consistently with their statutory duties and ethical obligations in handling the application.

The approval comes as the OCC, under the Trump administration and Comptroller Jonathan Gould, continues to open the door to crypto firms seeking trust charters to broaden their U.S. services. The agency also approves or conditionally approves applications from Circle, Ripple Labs, Crypto.com and Coinbase in December after Congress passes the GENIUS stablecoin bill.

Political backlash and foreign tie concerns

Lawmakers are pressing conflict-of-interest concerns because U.S. President Donald Trump and his three sons are affiliated with World Liberty, while a Trump family entity controls 38% of the company’s equity interests, according to the company’s website. Gould, who is leading the OCC, is nominated by Trump in 2025 and previously says the review will proceed through an apolitical and nonpartisan process after questions raised by Senator Elizabeth Warren.

Following the approval, Warren says she introduces legislation with nine other senators called the Ending Presidential Corruption in Banking Act. She describes the OCC’s decision as an unprecedented act of self-dealing in the financial system and says the bill is intended to stop that kind of conduct.

Congressional scrutiny also extends to World Liberty’s overseas links. An Abu Dhabi investment company backed by Sheikh Tahnoon bin Zayed Al Nahyan reportedly purchases a 49% stake in World Liberty in January 2025 for $500 million, while another UAE entity, MGX, uses World Liberty’s USD1 stablecoin to invest $2 billion in Binance. A White House spokesperson repeatedly says there are no conflicts of interest involving Trump’s investments.

In our earlier coverage of the U.S. Treasury’s proposed GENIUS Act rulemaking on payment stablecoins, we outlined how the agency aims to define when stablecoin issuers and digital asset service providers would need federal or state licensing. The piece highlighted the phased timeline—issuer licensing expectations beginning in 2027 and tighter limits on what service providers can offer in the U.S. starting in 2028—designed to clarify market access and compliance for both domestic and foreign stablecoins.

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