Trump-Backed Crypto Firm Granted Bank Charter Amid Graft Concerns
President Donald Trump's cryptocurrency business dealings have been under scrutiny, but his latest move may be his sleaziest yet. In a preliminary approval granted by a regulator appointed by the president himself, World Liberty Financial, the Trump family-backed crypto firm, will function as a bank.
This is not just any bank, it will issue and manage its own stablecoins, known as USD1, which are digital tokens pegged to the US dollar. This development has raised concerns about institutional graft and foreign political interference, particularly since US federal regulators have taken a hands-off approach to crypto oversight.
The Trump family owns 38% of World Liberty, but collects 75% of all crypto revenues. In 2025, they made nearly $800 million from the sales of digital tokens, which are essentially worthless and driven by speculation. The company's main function will be to legitimize institutional graft, allowing corporate entities or governments to route huge sums of money through World Liberty digital tokens.
Sen. Elizabeth Warren has commented on this development, stating that President Trump is now the first president in history to approve, operate, and supervise his own bank, which she calls 'the most brazen act of self-dealing our financial system has ever seen.'