OCC Approves World Liberty Financial Charter for Stablecoin Expansion

A US national bank regulator has given conditional approval to World Liberty Financial, a crypto company backed by President Donald Trump and his family, for a national trust charter. This will allow it to manage and hold assets on behalf of customers and settle payments faster.

The Office of the Comptroller of the Currency (OCC) granted preliminary approval in a letter published on its website. The charter would enable World Liberty to directly issue its USD1 stablecoin, as well as custody US dollar assets backing it, both currently handled by BitGo.

World Liberty said that the trust company would allow it to serve institutional customers and offer digital asset custody and stablecoin conversion services. However, the charter is subject to conditions, including notifying the regulator of any major business plan changes, maintaining at least $20 million in capital, and hiring a qualified employee as internal audit manager.

The OCC's approval comes after pressure from Trump allies who have been pushing for such charters. World Liberty has promoted its USD1 stablecoin as a safe, U.S. dollar-backed asset allowing for entry to a range of financial products on the blockchain. It is currently the fourth largest stablecoin by market capitalization at around $4 billion.

World Liberty's leadership is deeply intertwined with Trump's longtime allies, the Witkoff family. Zach Witkoff, son of special diplomatic envoy Steve Witkoff, is proposed as president of World Liberty Trust. The OCC's approval has been met with criticism from Democrats who have said it poses a major conflict of interest.