World Liberty Trust Company Gets Preliminary OCC Approval

The Office of the Comptroller of the Currency has granted preliminary conditional approval to World Liberty Trust Company. This decision allows the firm to begin the formal organization process for a national trust bank based in Florida. While the approval is a significant step, it does not mean the bank is open for business. The entity must still meet specific federal requirements to transition from a project into an active financial institution.

The proposed bank intends to handle the issuance, redemption, and reserve maintenance of the USD1 stablecoin. Currently, these duties are managed by BitGo Bank and Trust. Under the new plan, the trust would also provide digital asset custody and currency conversion services for institutional clients across the country. Zachary Witkoff is listed as the president and lead organizer for the project.

This development has sparked attention due to the connection between the company and the family of President Donald Trump. Democratic lawmakers, including Senator Elizabeth Warren, have raised concerns regarding potential conflicts of interest. In response to this approval, there are plans to introduce legislation that would restrict senior officials from owning or controlling banks.

The regulatory path ahead remains strict. The bank has a 12 month window to raise the necessary capital and a total of 18 months to officially open its doors. If these deadlines are missed, the approval will expire. Traders should watch for updates on how this transition impacts the stability and reach of the USD1 asset.