- World Liberty Financial could secure an OCC charter to expand USD1 stablecoin operations.
- Federal approval may reduce reliance on state-level licensing requirements and support wider USD1 adoption.
- Ethics concerns grow as Trump’s crypto venture seeks federal banking privileges.
World Liberty Financial, the cryptocurrency platform backed by President Donald Trump and his family, appears close to securing a federal trust charter from the Office of the Comptroller of the Currency (OCC). Industry observers and former regulators expect the agency to approve the application, a move that could significantly expand the company’s role in the U.S. financial system.
The charter would allow the firm to issue and redeem its USD1 stablecoin under a single federal regulator while reducing its dependence on outside intermediaries. Consequently, the approval could strengthen the company’s position in the rapidly growing stablecoin market.
Charter Could Expand USD1 Operations
World Liberty Financial submitted its national trust bank charter application on January 5. Since then, expectations have grown that the OCC will grant approval. The company argues that it satisfies updated regulatory standards introduced under Comptroller Jonathan Gould, who has accelerated approvals for crypto-focused financial firms.
If approved, the charter would permit World Liberty Financial to issue USD1 directly in the United States. Currently, the company relies on BitGo to facilitate parts of that process. Additionally, the federal charter would allow the firm to settle transactions on its platform in a manner similar to digital payment services.
The approval could also reduce exposure to varying state regulations. Moreover, it would place the company under direct OCC supervision and require compliance with anti-money-laundering regulations, consumer protection laws, and the Bank Secrecy Act.
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Ethics Questions Continue to Grow
Despite the potential business benefits, critics continue to raise concerns about conflicts of interest. Corey Frayer, director of investor protection for the Consumer Federation of America and a former aide to Democrats on the Senate Banking Committee, has emerged as one of the most vocal critics of the proposal.
Democratic lawmakers and government watchdog groups argue that granting federal banking privileges to a company connected to a sitting president creates ethical challenges. However, World Liberty Financial maintains that no company executives currently serve in government roles and insists that President Trump has not participated in company operations since returning to office.
Financial Stakes Remain Significant
The company’s financial footprint has expanded rapidly since its launch before the 2024 election. Trump owns 70% of an LLC that controls a major stake in the business. In June 2025, he reported earning $57 million from World Liberty Financial, though analysts believe that figure has increased substantially.
Besides offering governance tokens, the company’s USD1 stablecoin has become a central part of its strategy. A federal charter could boost confidence in the token and encourage wider adoption among businesses. Hence, the OCC’s decision may shape not only World Liberty Financial’s future but also the broader relationship between cryptocurrency firms and federal banking regulators.
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Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.
