The Office of the Comptroller of the Currency on Friday granted conditional approval to World Liberty Trust Company’s application for a national trust bank charter, marking a major regulatory milestone for the Trump family’s flagship cryptocurrency venture, World Liberty Financial.
The conditional approval was posted on the OCC’s website in Corporate Decision #1385 on August 14, 2026. The charter would enable World Liberty Trust to issue and custody USD1, a dollar-backed stablecoin, directly rather than relying on third-party custodian BitGo for those services.
USD1 has grown rapidly since its announcement in March 2025, becoming the fourth-largest stablecoin by market capitalization at approximately $4 billion, according to Reuters. World Liberty Financial says an entity affiliated with President Donald Trump and certain family members owns 38 percent of the company, as stated on its website.
The conditional approval is not final. World Liberty Trust must meet several pre-opening requirements before the OCC grants full authorization. These conditions include maintaining at least $20 million in capital, appointing a qualified internal audit manager, and notifying the OCC of any major business plan changes, according to Reuters and the OCC’s approval letter.
The OCC received seven comments on the application, with four commenters raising concerns about potential conflicts of interest involving Trump, his family, and non-U.S. investors in World Liberty Financial. The OCC’s approval letter noted that the regulator received so-called “passivity agreements” from certain investors, including foreign ones, who committed not to seek control or influence over the bank’s operations.
World Liberty Trust’s leadership is closely tied to Trump allies. Zach Witkoff, who serves as president and chairman of World Liberty Trust, is the son of Trump’s special diplomatic envoy Steve Witkoff. Both the Witkoff family and Trump’s sons co-founded World Liberty Financial in late 2024. Another proposed director, Scott Alper, is president of the Witkoff family’s real estate business, according to Reuters.
The conditional approval reflects a broader shift in OCC policy toward digital-asset bank charters under Comptroller Jonathan Gould, whom Trump appointed last year. Other crypto firms have received similar preliminary approvals, including Coinbase in April 2026 and Circle in July 2026. When Coinbase received conditional approval in April, the OCC required the company to meet similar pre-opening conditions, including capital requirements and compliance systems.
The approval letter confirmed that World Liberty Trust would not accept deposits or operate as a traditional bank, and that stablecoins are not deposits under federal law. The OCC emphasized that the bank’s stablecoin activities must comply with the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act, and conditions require the bank to cease or divest of any activities that violate that law.
In a statement, Witkoff said the approval brought “USD1 issuance, custody, and reserve management together under OCC supervision, examined on the same standards that have governed banks for generations.” He added that World Liberty welcomed “continuous scrutiny from Federal regulators for many years to come.”
Democratic lawmakers, including Senator Elizabeth Warren, have previously criticized the application, arguing it presents a conflict of interest for a Trump-appointed regulator. Warren had urged the OCC not to approve World Liberty’s application unless Trump divested his interests in the company. The OCC’s approval letter stated that the Comptroller and staff “acted consistently with their statutory duties and ethical obligations,” noting that career staff conducted the review.
Sources
- CNBC — World Liberty Trust Company’s conditional OCC approval for a national trust bank charter, Trump family ownership stake at 38 percent
- Reuters — Conditional approval details, $20 million capital requirement, USD1 market value, Trump family earnings from USD1, Witkoff family ties, Democratic lawmakers’ concerns
- Office of the Comptroller of the Currency — Corporate Decision #1385, official approval letter with conditions, public comments received, passivity agreements from investors, GENIUS Act compliance requirements
- Wall Street Journal — Conditional approval announcement, USD1 stablecoin market value at $4 billion, BitGo custody transition
- American Banker — Coinbase conditional approval in April 2026 as comparable precedent
