A trust company connected to the Trump family’s cryptocurrency enterprise, World Liberty Financial, has taken a significant step toward establishing a bank. The Treasury Department’s Office of the Comptroller of the Currency (OCC) provided conditional approval for the World Liberty Trust Company to set up a bank charter.
This approval allows the company to issue and manage its own stablecoins independently, eliminating the need for intermediaries. World Liberty Financial, launched in 2024 by President Trump’s sons alongside the sons of Steve Witkoff, currently holds ownership stakes, with 38% linked to an entity associated with Donald J. Trump and his family, as noted on the company’s website.
The decision has drawn scrutiny from Democratic leaders, who argue that granting bank status to a business with Trump family ties poses a conflict of interest. Austin Campbell, an NYU Stern School of Business professor, stated, “This creates the awkward situation of the OCC needing to police World Liberty, which has an affiliation with the president’s family. It is pretty unprecedented.”
Senator Elizabeth Warren from Massachusetts labeled the move a “brazen act of self-dealing.” She, along with Democratic colleagues, announced plans to introduce legislation preventing the president, vice president, and their family members from owning or controlling a bank.
World Liberty emphasizes that safeguards are in place to ensure the Trump family has no involvement in the bank while Mr. Trump remains in office. A company spokesperson noted that the national charter will guarantee continuous regulatory oversight by the OCC, extending beyond the Trump administration. They argued, “Critics are missing the point: World Liberty Financial is running towards regulation and continuous oversight, not away from it.”
The White House and Trump Organization have not yet responded to requests for comment. Crypto businesses have been quite profitable for President Trump, with financial disclosures indicating earnings of at least $1.4 billion from crypto ventures last year. Although Mr. Trump hosted a gala for top investors of his cryptocurrency venture last year, he claims not to be involved in its daily operations.
World Liberty’s trust company must still fulfill several requirements to secure final approval to operate as a bank.