World Liberty Financial Receives OCC Preliminary Approval for Trust Bank

World Liberty Financial Moves Forward with National Trust Bank Plans

World Liberty Financial has obtained preliminary conditional approval from the Office of the Comptroller of the Currency (OCC) to establish a national trust bank, designated to oversee more than $4 billion in circulation of its USD1 stablecoin.

Approval Details and Requirements

The OCC announced its decision on August 14, 2026, allowing World Liberty to organize the World Liberty Trust Company, National Association (WLTC). This approval is conditional; WLTC must meet specific requirements outlined by the OCC before commencing operations. The institution must secure at least $20 million in eligible capital and provide an updated operating plan for the OCC’s review.

Purpose and Services of the Trust Bank

Once operational, WLTC will be responsible for issuing and managing USD1, as well as providing custodial services for institutional clients. This strategic move aims to consolidate USD1 issuance, reserve management, and institutional custody under a federally supervised bank.

Operations Transition from BitGo

The transition will also see USD1 operations moving from BitGo Bank & Trust, which currently issues and safeguards the stablecoin. Following WLTC’s authorization, the bank plans to take over the reserve assets linked to USD1 and manage all related liabilities. The OCC has emphasized that this transfer may require additional approvals under federal bank merger rules.

Management and Structure

WLTC will be organized as a wholly-owned subsidiary of Delaware-registered WLTC Holdings, with an office located in Bay Harbor Islands, Florida. The new trust bank intends to maintain strict guidelines for operations, including safeguards for customer assets and reserve management.

Impact of Federal Supervision

World Liberty Trust President and Chairman Zach Witkoff believes that being under federal oversight will help standardize operations and enhance trust in the management of USD1. He stated:

“A national trust bank brings USD1 issuance, custody, and reserve management together under OCC supervision, examined on the same standards that have governed banks for generations.”

Background and Context

World Liberty Financial’s application has attracted attention, particularly due to its ties to former President Donald Trump. In January, Sen. Elizabeth Warren called for a review pause, citing concerns about Trump’s financial interests in the firm. The OCC noted that foreign investments in World Liberty Financial would not significantly affect the charter decision as they do not hold principal shareholder status.

Market Response and Future Steps

In the aftermath of the approval announcement, WLFI shares saw minor gains, although the stock remains more than 60% lower than its price a year prior. The institution is now tasked with finalizing OC requirements before it can commence operations, aiming to position itself as a key player in the rapidly evolving stablecoin market.