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OCC conditionally approves bank charter for Trump-backed World Liberty Financial

More than $1.6 billion has flowed to President Donald Trump and his family through World Liberty Financial, by Reuters' calculation as of April, with an estimated $50 million of that traced to the venture's USD1 stablecoin through June…

By Warren Ashby·Aug 16, 2026·2 min read·crypto

Key takeaways

  • The OCC gave conditional preliminary approval on Friday to a national trust charter for World Liberty Trust Company, the banking entity Trump-backed World Liberty Financial applied to open in January.
  • The charter, if final conditions are met, would let World Liberty directly issue its USD1 stablecoin and hold the dollar reserves backing it, roles currently handled by third-party custodian BitGo.
  • Reuters calculated that more than $1.6 billion has flowed to Trump and his family through World Liberty Financial as of April, with an estimated $50 million traced to the USD1 stablecoin through June 2026.
  • USD1 has grown to roughly $4 billion in circulating market cap, making it the 4th-largest stablecoin, and the OCC set a $20 million minimum capital condition for the final charter.
  • World Liberty Trust's proposed leadership includes Zach Witkoff, son of Trump envoy Steve Witkoff, as president and chairman, while Eric Trump signed a passivity agreement pledging not to influence the bank's operations.

More than $1.6 billion has flowed to President Donald Trump and his family through World Liberty Financial, by Reuters' calculation as of April, with an estimated $50 million of that traced to the venture's USD1 stablecoin through June 2026. On Friday, the Office of the Comptroller of the Currency gave conditional preliminary approval to a national trust charter for World Liberty Trust Company, the banking entity the venture applied to open in January. The charter, if it clears final conditions, would let World Liberty directly issue USD1 and hold the dollar reserves backing it, two roles currently filled by a third-party custodian, BitGo.

Metric Reported figure Notes
World Liberty Financial total to Trump family $1.6B+ Reuters calculation, as of April
Trump family earnings from USD1 ~$50M Reuters estimate, through June 2026
USD1 market capitalization ~$4B 4th-largest stablecoin
OCC minimum capital condition $20M Required for final charter

What the charter actually unlocks

A national trust charter is narrower than a commercial bank license. It allows the holder to manage and hold assets for clients and settle payments faster, but it does not permit deposit-taking or lending. The practical draw is federal reach: a single OCC charter replaces a patchwork of state licenses and signals regulatory standing to institutional clients that require supervised custodians. Ripple and Circle have received similar preliminary approvals under Comptroller Jonathan Gould, a Trump appointee.

The operative shift for World Liberty is vertical integration. USD1, a dollar-pegged token announced in March 2025, has grown to roughly $4 billion in circulating market cap. Today BitGo sits between the stablecoin and its issuer. An approved trust charter would bring issuance, custody, and reserve management in-house under continuous OCC examination.

Leadership ties to Trump's circle

World Liberty Trust's proposed leadership runs directly through Trump's diplomatic orbit. Zach Witkoff, son of Trump's special diplomatic envoy Steve Witkoff and a co-founder of World Liberty Financial in late 2024, is CEO of the financial firm and president and chairman of the trust entity. Robert Witkoff, Steve's brother and a former insurance executive, is a proposed director. Scott Alper, president of the Witkoff family's real estate business, is another.

Eric Trump signed a passivity agreement as president of a Trump-family affiliated investment vehicle, pledging not to seek to influence the bank's operations. The OCC said it received similar commitments from other investors, including non-U.S. holders, after public comments raised concerns about foreign ownership in World Liberty Financial. Democratic senators had separately asked Treasury to examine national security implications of a reported $500 million stake purchase linked to the United Arab Emirates' national security adviser.

The OCC, which sits inside Treasury and operates without a bipartisan board, said in its approval letter that career staff, not political appointees, reviewed the application, and that Gould acted within his statutory duties.

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Frequently asked

What does a national trust charter allow World Liberty to do?

It allows the holder to manage and hold assets for clients and settle payments faster, but it does not permit deposit-taking or lending. For World Liberty, it would bring USD1 issuance, custody, and reserve management in-house under continuous OCC examination.

Who leads World Liberty Trust Company?

Zach Witkoff, a co-founder of World Liberty Financial and son of Trump's special diplomatic envoy Steve Witkoff, is president and chairman, while Robert Witkoff and Scott Alper are proposed directors.

What concerns have been raised about the charter?

Public comments raised concerns about foreign ownership, and Democratic senators asked Treasury to examine national security implications of a reported $500 million stake purchase linked to the UAE's national security adviser.

Who reviewed and approved the application?

The OCC said in its approval letter that career staff, not political appointees, reviewed the application, and that Comptroller Jonathan Gould, a Trump appointee, acted within his statutory duties.