Trump-Linked Crypto Venture Granted Bank Status in Unprecedented Move

A Trump-linked crypto venture, World Liberty Trust, has been granted bank status by the Office of the Comptroller of the Currency (OCC) in an unprecedented move. The approval allows the company to issue stablecoin cryptocurrency tied to the U.S. dollar, marking the first time a company owned by the sitting president's family has received such permission.

The OCC's decision grants World Liberty Trust conditional approval to establish a bank charter, enabling it to provide digital currency services directly to clients. This move is expected to attract larger clients and potentially increase profits for the Trump family's business.

World Liberty Financial, the sponsor of the conditionally approved trust, has previously relied on BitGo, a third-party crypto company, to provide stablecoin services. The OCC requires World Liberty Trust to meet several conditions before final approval, including increasing its capital.

The decision has sparked concerns over potential conflicts of interest, with Democratic lawmakers expressing skepticism about the president's involvement in his family's business ventures. Ranking Member of the Committee on Banking, Housing and Urban Affairs Sen. Elizabeth Warren, D-Mass., has urged the OCC to halt approval, calling it 'the most brazen act of self-dealing our financial system has ever seen.'

The Trump administration has maintained that there are no conflicts of interest, citing a blind trust managed by the president's children as evidence.