Trump Family Crypto Empire Expands Again: World Liberty Financial Applies for National Bank License to Target Stablecoin Dominance

Deeply supported by the family of U.S. President Donald Trump, the crypto enterprise World Liberty Financial has officially submitted an application for a national bank trust charter to the Office of the Comptroller of the Currency (OCC), aiming to establish “World Liberty Trust” to unify its issuance, custody, and exchange operations for its stablecoin USD1.

If approved, this move will mark a critical penetration of the rapidly expanding crypto footprint of the Trump family into the core of the traditional financial system, with its flagship stablecoin USD1’s market cap soaring to approximately $3 billion. The application comes after the new OCC Director appointed by the Trump administration took office and following the signing of the GENIUS Act, signaling a significant shift in U.S. crypto regulatory policy and paving the way for other crypto companies to obtain federal licenses.

Strategic Upgrade: From Crypto Enterprise to Federal Charter Bank

Recently, the intersection between the crypto industry and Washington politics has once again become a focal point. World Liberty Financial officially announced that it has submitted an application for a national trust bank charter to the OCC, a financial regulatory agency under the U.S. Department of the Treasury. This is not a routine business expansion but a fundamental change to its regulatory framework and scope of operations. According to the company’s plan, once approved, a new entity called World Liberty Trust will be established. This entity will serve as a highly regulated, unified platform, integrating currently dispersed activities—especially the issuance and custody of its flagship stablecoin USD1—under one highly supervised entity.

For WLF, obtaining a national trust bank license is primarily about “single regulation” and “nationwide access.” Co-founder Zach Vitkoff explicitly stated in a statement that the national trust charter would enable the company to “integrate issuance, custody, and redemption, providing a full-stack product under a highly regulated entity.” This means WLF can avoid the cumbersome and costly process of applying for money transmission licenses in all 50 states and directly accept federal regulation from the OCC, greatly enhancing operational efficiency and compliance certainty. This move also clearly targets serving a broader range of institutional clients, including major mainstream CEXs, market makers, and investment firms, offering a one-stop stablecoin solution.

It is worth noting that the national trust bank has specific operational boundaries. Unlike ordinary commercial banks, it cannot provide loans or accept public deposits. Its core functions are asset custody, trust management, and certain issuance services. This aligns precisely with WLF’s planned business focus: concentrating on digital assets, especially the issuance and secure custody of stablecoins. Through this structure, WLF can operate within a strict regulatory framework while avoiding the higher capital requirements and liquidity risks associated with traditional commercial banks, effectively creating a tailored financial license pathway for native crypto businesses.

The Ambition of Stablecoin USD1: Accelerating Expansion within a Regulatory Framework

The most immediate and critical goal of WLF’s application for a banking license is to establish an indisputable compliant infrastructure for its stablecoin USD1. USD1 is a crypto token pegged 1:1 to the U.S. dollar, with a total market cap of about $3.3 billion, rapidly rising in the competitive stablecoin market. Zach Vitkoff proudly states, “USD1’s growth in its first year has surpassed that of any other stablecoin in history.” Institutional clients have already begun using it for cross-border payments, settlements, and fund management.

Once the World Liberty Trust is established, the trust company will be directly responsible for issuing and redeeming USD1. The company’s statement indicates that this will “allow other stablecoin holders to transfer into USD1.” While this may sound modest, it is actually ambitious. It hints that WLF aims to create an open “stablecoin hub,” attracting users and institutions currently using USDT, USDC, and other stablecoins, and facilitating their migration into its more transparent, better-backed USD1 ecosystem through its exchange services. Against the backdrop of the GENIUS Act imposing higher reserve and audit requirements on stablecoin issuers, an issuer with a federal bank license undoubtedly holds a significant compliance advantage.

Furthermore, the trust structure can effectively address client asset segregation issues. WLF’s general legal counsel, Mike McCain, was designated as “trust officer” in the application, emphasizing: “OCC has over a century of history supervising trust activities. (World Liberty Trust) will operate under the same framework, implementing client asset segregation, independent reserve management, and periodic reviews.” Such commitments are crucial for attracting institutional investors seeking asset safety. In a market increasingly demanding transparency and security, possessing bank-level custody and issuance qualifications could be a key differentiator for USD1 among many stablecoins.

World Liberty Financial and USD1 Key Data Overview

Company affiliation: Trump is listed as “Honorary Co-Founder,” with his three sons as co-founders; some equity is controlled by Trump family-held DT Marks DEFI LLC.

Core assets:

• USD1 Stablecoin: Market cap approximately $3.3 billion, pegged 1:1 to USD.
• WLFI Token: Tradable token, specific market cap undisclosed.

Trump’s personal earnings: According to his latest financial disclosure (covering only 2024), he received personal income of $57.3 million from WLF.

Progress of license application: Submitted a national trust bank charter application to the OCC, proposing to establish World Liberty Trust.

Industry reference: OCC has granted similar trust bank charters to multiple crypto firms including Circle, Ripple, Fidelity Digital Assets, BitGo, and Paxos.

Regulatory “Climate” Shift and the GENIUS Act Framework

WLF’s application is not an isolated event but occurs against the backdrop of profound changes in the U.S. crypto regulatory environment. The most notable turning point came after Trump’s return to the White House in January 2025. Compared to the cautious or even resistant attitude of the previous administration’s OCC toward crypto-related banking activities, the new Trump-appointed OCC Director, Jonathan Gould, has clearly reversed this stance since taking office last summer. Just one month before WLF’s submission, the OCC conditionally approved charter applications from five crypto firms, including Ripple and BitGo, signaling a positive shift at the federal level toward opening banking channels for crypto businesses.

This regulatory shift’s top-level design is rooted in the GENIUS Act, passed by Congress and signed into law by Trump last July. The bill aims to strengthen stablecoin regulation and establish a basic federal regulatory framework for such digital assets. While detailed implementation rules are still being formulated by the Treasury Department and other agencies, the core principles are clear: stablecoin issuers must maintain sufficient high-quality reserves and undergo regular audits and disclosures. WLF’s statement also explicitly mentions that obtaining a national trust license will help it “comply with the GENIUS Act.” This indicates the company’s proactive choice to operate within the most stringent federal framework to secure a long-term “safe harbor” for compliance.

However, key issues within this regulatory framework remain unresolved, notably the attribution and handling of “stablecoin yield.” Currently, the question of who owns the income generated by reserves backing stablecoins like USD1 (often short-term government debt or interest-bearing assets) is controversial and varies in practice. This is not only a significant economic interest—calculating annual yields in the tens of millions of dollars for USD1’s $3.3 billion scale—but also affects the legal classification of the product. This issue is a focal point in the ongoing discussions of the crypto market structure legislation in Congress. Legislators are expected to vote on related bills next week, and WLF’s application provides a concrete case in this debate.

Trump Family’s Crypto Business Empire and Political Influence

WLF is just one flagship project within the Trump family’s extensive crypto business ecosystem. Over the past year, Trump and his family members have embraced crypto assets with unprecedented enthusiasm—from issuing personal-themed memecoins, promoting digital trading cards, to launching decentralized finance platforms. WLF itself was founded at the end of 2024 by Trump’s three sons and the son of Steve Vitkoff, Trump’s peace envoy, with strong family involvement.

This commercial activity increasingly interacts with political influence. Just days before returning to the White House, Trump launched a memecoin linked to himself and Melania. After taking office, he swiftly pardoned several crypto executives who had pleaded guilty to criminal charges and appointed industry-friendly officials to key regulatory positions. These moves have created a more relaxed political environment for the crypto industry. WLF’s bank license application can be seen as a natural business evolution under this “policy dividend.” The company is leveraging its political connections to gain commercial opportunities and is attempting to institutionalize and sustain this advantage through a federal license.

Another related project of interest is Alt5 Sigma, a crypto company supported by the Trump family and publicly listed. Last month, after the Financial Times in the UK questioned its lack of relevant licensing, Alt5 Sigma dismissed its auditor. The company signed an agreement last August to purchase tokens issued by WLF, with Eric Trump joining as a board observer. These complex business networks indicate that the Trump family’s crypto interests are not limited to a single project but form an interconnected ecosystem. WLF, as the most stable (via stablecoin operations) and compliant part, is taking the lead in pursuing a bank license to establish a solid financial infrastructure for the entire ecosystem.

Potential Impact and Industry Outlook: A Starting Gun for Compliance Race

If the OCC ultimately approves WLF’s application, the impact will be profound and multi-dimensional. First, it will significantly enhance the market competitiveness of USD1 stablecoin. In a trust-based financial world, a stablecoin backed by a federal bank license will be highly attractive to institutional users and cautious retail investors. It could accelerate industry reshuffling, forcing other stablecoin issuers—including current market leaders—to seek similar or higher levels of compliance, sparking a “compliance arms race.”

Second, it will further blur the boundaries between traditional finance and crypto finance. World Liberty Trust will serve as a bridge, allowing regulated traditional capital to flow more smoothly into the crypto ecosystem, and enabling crypto-native assets to be more widely accepted in the mainstream financial world. For the entire industry, this is a positive signal that embracing regulation rather than avoiding it can grant crypto companies access to mainstream finance. OCC has already granted green lights to several crypto firms; if WLF’s application succeeds, it will reinforce this trend and encourage more companies to seek federal charters.

Finally, this will tightly bind Trump’s personal and family political fortunes with the rise and fall of the crypto industry. Crypto could become a significant voter base and source of funding for him (as evidenced by his $57.3 million personal disclosure income). Trump’s policies will largely influence the direction of U.S. crypto innovation. This deep integration offers opportunities but also entails risks. Any sharp market volatility or compliance issues involving WLF and related entities could translate into political risks. In any case, WLF’s bank license application has woven together a family’s business ambitions, an industry’s regulatory evolution, and a national policy shift into a compelling chapter of this era.